Attracting employees who do not have transportation to work is a growing challenge for small businesses, especially in blue-collar industries. According to a 2022 survey by the Society for Human Resource Management (SHRM), 46% of workers cited transportation as a significant barrier to maintaining employment. This issue becomes more pressing for companies located in areas with limited public transportation options.
For small businesses, the inability to attract qualified candidates due to transportation limitations can hinder growth. However, innovative solutions like ride-sharing or business-owned vehicles can help mitigate this challenge.
One option is establishing a company-sponsored ride-sharing program. Businesses can partner with local carpool services or use apps like Uber for Business to provide reliable transportation for employees. By offering partial or full subsidies, companies can reduce turnover and attract workers from a wider geographic range. Another creative approach is investing in company-owned vehicles. By providing employees with access to a fleet of vehicles managed and maintained by the company, small businesses can ensure that workers have a dependable way to get to work. While it might seem costly upfront, this investment could pay off in the long term by improving employee retention and engagement. Some companies have gone even further by creating partnerships with local governments to provide discounted transportation passes for employees. These public-private partnerships can be mutually beneficial, helping both the community and the workforce.
There are several resources and strategies that U.S. employers can explore to help provide transportation services to their employees:
Federal and State Grants:
- Federal Transit Administration (FTA): Offers grants that support public transportation, which can include initiatives like employer-sponsored shuttles or vanpools.
- State and local transportation departments: Often have programs or grants specifically designed to assist with employer-based transportation solutions.
Public-Private Partnerships:
- Collaborate with local government agencies or transportation authorities to create tailored transportation solutions for employees. This might include subsidized transit passes or dedicated shuttle services.
Ride-Sharing Programs:
- Utilize platforms like Uber for Business or Lyft Business, which allow companies to set up corporate accounts to manage and pay for employee transportation needs efficiently.
Commuter Benefit Providers:
- Companies like Edenred Commuter Benefit Solutions or Wageworks provide services that facilitate pre-tax commuter benefits for employees, which can be used for transit passes, vanpooling, and parking.
Employee Transportation Coordination Tools:
- Tools like Luum or RideAmigos can help manage and optimize commuter programs, offering features like carpool matching, transit planning, and analytics.
Local Chambers of Commerce or Business Associations:
- These organizations can be valuable resources for networking with other businesses to share transportation resources or for advocacy efforts to improve local transportation infrastructure.
Vehicle Leasing Programs:
- Consider leasing vehicles for employee use if your business location is not well-served by public transportation. Companies like Enterprise offer fleet leasing programs that can be customized for employee shuttle services.
By leveraging these resources, companies can develop effective transportation solutions that not only enhance employee satisfaction and retention but also expand their potential labor pool by making positions accessible to those who may not have personal transportation.
Incorporating transportation solutions into your management training can help small businesses thrive in a competitive market. Not only does it demonstrate a commitment to employees, but it also helps remove barriers that may be preventing top talent from joining your team.