Free Download Download our FREE Guide 'The Dos and Don'ts of Reference Checking'   Click Here

Greener Transport Options

Issue 34 - February 2010

printer friendly version

The role that employers will have to play, should the UK government stand by its commitment to cut greenhouse gas emissions by at least 80% over the next 40 years, could be significant...

So what can you as an employer start to consider in line with greener transport options?

 

Car-sharing Scheme

 

A car-sharing scheme has already been adopted by some employers. Some businesses that have this scheme in place provide incentives for employees such as priority parking at the company’s premises. For business locations which may have limited car parking spaces this could provide a solution to parking in addition to tackling the ‘greener transport’ issues.

 

Cycle to Work

 

Many employers have opted for the Cycle to Work Scheme, as it provides an environmentally friendly option and is very cost effective. Employees save money on new bikes and employers gain a healthier workforce and save money too.

 

A tax exemption only applies to employees when they predominantly use the bicycle and equipment for work. The scheme must be offered to all employees, regardless of seniority, and ownership of the equipment must not be transferred to the employee during the loan period.

Bus scheme

One of the latest schemes to be reviewed is allowing employers to take part in a bus scheme. This would mean employees would take on an annual season ticket, which they pay for on a monthly basis from salary (known as a salary sacrifice scheme). As the cost of the season ticket is deducted from an employee’s gross salary rather than net salary there are savings to be made on tax and national insurance costs.

 

When introducing salary sacrifice schemes, companies can make National Insurance savings, which provide a good incentive for an employer to look into such options further.

 

Other options

 

To keep people out of their cars, some companies have also looked at what can be available during the working day. Some incentives that have been introduced are pool bikes, pool cars and even a free bus service for employees on company business!

 

Further Advice and Support

 

Further advice and support in respect of greener transport options can be obtained from your HR Department. For NorthgateArinso clients, please contact the NorthgateArinso HR Advice Line on 0845 299 0243 who will be happy to help with any queries.