Employees living far away is not something I would want to incentivize for so many reasons.
this post was submitted on 21 Sep 2023
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But that's not what compensation for the commute would incentivize. I don't understand why people think getting paid to drive to work would mean employees would spend most of the week driving. It would mean employers would only hire employees who live upstairs.
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Yeah why not. That shit is normal in my country. People get paid per kilometer or they get a transit pass. Of course the amount is capped and itβs a tax write off for the company anyway. Not sure why some of the comments here are against it. I guess they are all Americans
of course the Americans are against it
"BuT WHY IS SHE GEAtatING PaId MORE"
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I would make sure they are both payed well enough that they can afford to live close to the factory. If they chose to live far away anyway, that is not my problem.
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I would put then on the same shift so they eat lunch together. Soon they will fall in love, get married and move in together. Problem solved.
What do you mean compensate employees for their commutes? If I were a self-respecting factory owner, I would figure out how to get the municipality to scale back any public transit options so I could lease vehicles to my employees. They should be paying me to get to work, ha!
Spoken like a true businesstorian.
like a subscription!! yes!!!
they would pay you everyday to get to and from work. would it be a flat rate or by the length of commute? length in minutes? miles?
They'd just be typical leases at competitive rates, but with expensive penalties for going over milage limits (those limits being the yearly necessary travel distance to and from work for each employee). The cars will be underpowered, "environmentally friendly" electric vehicles.
Blowjobs
If we have to be hypothetical, let's go wild
No. I donβt know or care where they live. I will provide parking.
The government will get upset with you if you don't have your employees' addresses. You need that for tax purposes.
you mean, you'll give them a discount on parking? ;)
Why would an employer care how far away their employees live, or compensate them for their travel?
Unless the employer also gets to decide where they can and can't live, why should they compensate them?
Why would an employer care how far away their employees live
Commute obviously has an impact on overall satisfaction. In roles that can be done remote or in person you can effectively trade commute time for pay.
This logic can be extended to employees working in person with contrasting commute times. Thus op's question
Anything short of my commuting time being considered part of my working hours is a non-starter for me. I value the time I gain by not commuting a lot more than most employers do. If my day starts the moment I close my front door, then we can start talking about additional concessions.
No because that opens the door for more complicated situations. Alice is late one day due to traffic or a road closure, does she get more compensation? What if Bob can't drive so his commute takes longer? What if he can drive, but chooses not to?
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A high static number, like $100/week. The people who live closer will get a little extra and that's fine (a mild incentive)
This is how a lot of companies in my area do it. They might offer either a transit card, a parking pass, or a small extra cash bonus each month. Generally the transit card and parking passes are more valuable than the cash.
I commute an hour, but I only do so because it's cheaper to live where I do instead of in the city I work in. I'm already compensated.
If I wanted a short commute I would be paying for it.
My employer gives us a commuting payment based on the distance from home to work (paid per km) on days we go to the office. We get an additional β¬60 a month to cover our working from home costs.
Some countries actually pay your commute fees or part of them. In Argentina it's called viΓ‘tico. It can be advertised as part of the job payment or discussed upon closing the agreement, regardless of whether the job is legal (by the books, officially taxable) or otherwise.
I think it's pretty standard in the EU.
I had no idea! Cool
lol Argentina is a strange place to use as an example. I see what you mean though
I know... lol I'm not trying to say it's any better. Wealthier countries don't see the point in compensating this way, because the expense in the grand scheme of things is just petty change for the workers.
But if it was necessary, then it's not too bad a system, which is what OP was after.
It's dependent on how competitive the job market is. You either pay the person more to get them to do it or you don't. You set a value on their relative skills. Everything else comes out in the wash.
I wouldn't do it for time I'd do it for distance
And I'd have a cap for compensation for distance
I'd probably also offer a percentage coverage for monthly public transit passes to encourage workers to use public transit more
Now Alice and Bob both live 10 miles away. Alice drives a GMC Yukon Denali and Bob rides his bicycle. Since Alice's commute is more expensive, should she be compensated at a higher rate than Bob?
No. It's not the employers fault that Alice spent more money on her mode of transportation.
This is why paying people for their commute is unreasonable. Payment by mileage is based fuel costs mostly. Some wear and tear, but mainly it's to offset the fuel cost. If someone rides a bike to work, they don't have fuel costs, therefore should not be compensated.
No, they both get compensated for 10 miles and if they bring proof of purchasing a transit pass for the month a percentage reimbursement
No, that's Alice's problem.
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If they can take public transit I'd pay for it. I'd give them up to $2,000 hiring bonus to buy an electric bike (maybe find a good company and get a discount) and offer relocation fees to get within range of either. If you're driving, use park and ride and I'll pay for it.
Other than that, WFH.
First: a company should pay at a minimum a wage that can afford housing nearby (probably within 15 minutes' drive). The company should pay everyone for work hours + that round trip nearby commute time
If the company is paying that wage, then employees who live farther away are making a free choice to do so. They still get that round trip nearby commute time paid, but time beyond that is not paid. Or paid at some diminishing rate.
Companies should recognize a worker's time list for the company's benefit. But there has to be a balance because of the temptation to game the system.
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Fuel card, or static rate for travel costs that actually covers the cost
What if Bob rides a bicycle? Should he be compensated at a lower rate because his actual costs are less?
Generally everyone just gets an allowance of X paid, pocketing the difference they don't use. I work from home, travel costs for me would likely be both on the clock and expenses paid if travel is necessary
I work in an office and am not compensated for getting to work. Would be compensated if after getting to the office they needed me to travel somewhere else.
That's what we also have here.
"Took you 2 hours and 1/4 th your daily rate? Sorry you will have to cover that cost out of your pocket. After all, we didn't force you to work here, you applied knowing full well where the office is and how much your salary would be."
Let's make generalizations to answer the bigger problem here.
Most jobs that people are talking about are in cities.
Some people choose to not live right in the middle of a city for various reasons, but still want that job. They may live in a nearby community, the edge of the city, a county or two over, etc.
Predatory companies like Amazon resolve this by telling someone like Ryan homes to build a few 300 house communities right next to their new warehouse, resolving the issue and making their own non-city town. Normal companies do not have this ability.
There has to be a balance.
Businesses need to not be involved in commute repayment. They should instead invest into their local communities to make them more desirable to live in.
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The compensation could be capped at 15 miles or 30 minutes or something, which would encourage people to live closer to work.
I'll offer Bob a place near the workplace if he's a good employee. If he asks me to pay for his transportation expenses, it won't happen. I think I'd formally invite him to find another job at the end of the contract.
What is RT?
Round trip
Think RT is "round trip". The first number they listed was one way and the second was to work and back.
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