#Commuter Benefits

How to reach top talent with commuter benefits

August 31, 2022

With a job market that is getting increasingly more complex and competitive, many organizations are looking for ways to stay relevant. Offering flexible and sustainable is one of the top ways to do so.

In 2021, Indeed surveyed workers looking to return to the workplace and found that commuting is workers’ top worry. Roughly 45% are most concerned about the time they’ll spend getting to work, with 38% of respondents expressing their biggest gripe is the additional costs of commuting, such as tolls, gas or public .

Offering commuter benefits is not only a great way to retain current , but it’s also an excellent move for recruiting top talent. So, what does commuter benefits entail of and why are they so beneficial in today’s job market?

Why commuter benefits are good for recruitment

Also commonly known as transit/transportation benefits, commuter benefits are a stellar perk that gives employees the ability to use tax-free dollars to cover commuting expenses.

Depending on how far an employee lives from the office, their daily commute to work can become costly, very quickly. From purchasing transit passes, to using rideshares, or paying for parking—these expenses all add up, which is why offering commuter benefits can be a huge help for employees. It gives them the option to pay for work-related transit and parking with pre-tax money.

Imagine this scenario: Jake takes an into work each day, while his coworker Ruth takes the subway. Ruth, who enrolled in commuter benefits, isn’t paying taxes on her subway fare. Jake, who has yet to sign up, is paying his Uber fees in full. As a result, Ruth is stress-free, so she’s be happy and productive. While this scenario is just an example, it is a reality for many that don’t have access to commuter benefits.

How to offer commuter benefits

So, how can you offer commuter benefits to employees?

Start by going straight to the experts: your current employees, business owners in your network, and your benefits provider. Ask your employees if commuter benefits would be beneficial for them, and depending on your budget, if it would make sense to cut things like retirement, time-off or care benefits. Gauging their interest will give you a better sense of how essential this benefit feels and help you determine how much you can spend per employee.

Next, if your office building is home to other businesses, speak with them. Ask how they’re handling commuter expenses and/or parking specific to your area. For example, some office buildings may only have one parking option, while others will have multiple such as street parking, parking lots, and garages. Determine if there’s any wiggle room to negotiate lower prices for employees.

Lastly, get current employees on board and spread the word to job applicants. Keep employees in the loop by holding meetings and sending out reminders to discuss what’s being offered. For recruiting purposes, be sure to highlight this perk on job posts as one of your top benefits to draw attention and attract top talent!

How Edenred can help

Schedule a meeting today to discuss commuter benefits and how we can assist your company in setting them up.

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