21 fév 23

The right steps to implement a Mobility Budget

As securing employee mobility becomes ever more important in light of retention and understanding the cost equation of mobility spend, there’s much talk of mobility budgets. In Belgium, for example, the Mobility Budget has been incorporated into federal law since 2019. 

Key Elements of a mobility policy

  1. The policy reflects corporate targets.
  2. The policy has been tested against employee needs and preferences.
  3. The policy design can be disruptive, but should not impact business continuity.
  4. The policy is dynamic.

1.Why go for a Mobility Budget? 

To address the demand from employees for sustainable and flexible mobility solutions that fit their profile. To protect the environment and become carbon neutral.  

2. Is the Mobility concept accessible for all?

There are sizable benefits to having the Mobility Budget accessible for all. But there are currently legal and fiscal uncertainties and additional cost which may prevent that. A Mobility Budget today is usually given to those employees eligible for a company car. 

3.    Is it a replacement for the company car? 

A Mobility Budget should be offered as a package with the car still included, but where the employee has the choice, the decision should be based on their profile and job requirements. 

4.    How do you set up a Mobility Budget initiative?

First, create a cross-functional team. The more departments you include from the start the better your organisation will be aligned. This could include Fleet, HR and Talent, Sustainability, Finance, Facilities and Legal. Second, define the framework and mobility modes necessary based on personas representing the different profiles within your company. Third, launch a pilot to elicit user feedback which will enable you to make the right decisions before full launch.

5.    How do you manage a Mobility Budget? 

Moving from supplying a single mode of transport to providing many modes, to a greater number of people, all of whom have different needs and usage patterns, can seem daunting. Make sure your mobility management tool is configurable: determine which budgets must be set up and select which services can be chosen within each. Communicate with employees what is expected, which budgets they have and what they can be used for. 

8 Mobility Budget steps in brief

  1. Make sure you know what a mobility budget is and how it can complement a company car policy.
  2. Analyse the real mobility needs of your employees and what your company expects them to achieve.
  3. Consider which types of mobility could satisfy both employees and the needs of your business and match them.
  4. Talk to key stakeholders to understand how the company car policy fits into the overall staff recruitment and retention programme, and what effect a change might have.
  5. Consider to what degree a mobility programme could be extended to other employees who are not entitled to a company car.
  6. Involve both the personnel and social partners in your discussions; with colleagues, analyse the intangible benefits – happier, more productive staff…
  7. Look at the overall cost of what you are proposing, and compare it with current travel costs: car ownership, bikes and scooters, trains, taxis, homeworking, parking…
  8. Ensure that local managers analyse the impact of other forms of mobility provision on the tax position of the employee and the company.