Employee benefits are becoming an increasingly important part of the overall employee value proposition (EVP) as businesses look for creative ways to reward their employees outside of their salary. And they’re important, with a recent survey revealing one in two workers would sacrifice more of their basic salary for a tailored employee benefits package[1].
As we hurtle, dare we say it, towards a new year, we thought we’d do a quick round up of some environmentally-conscious benefits to take into 2022. You may already offer all of these, or perhaps you’re looking to refresh your benefits package. Either way read on to find out how you can help contribute to reducing your employees’ environmental footprint.
1. Electric car salary sacrifice
Businesses are increasingly adding the option of purchasing an electric vehicle via a salary sacrifice scheme. Energy services company Centrica is just one example who recently added the option of purchasing an electric car through a salary sacrifice scheme to its benefits[2]. More than 100 cars have been purchased through the scheme since it started this November and the benefit ties in nicely with its target to reduce emissions by transitioning to an all-electric fleet by 2025.
Compass Group have also introduced a 100% electric vehicle policy to complement its 2030 target for net zero[3], while Star Refrigeration, based in Glasgow, switched to an all-electric vehicle salary sacrifice policy back in April[4].
If you’d like to introduce this benefit to your employees, Brunsdon Financial maybe able to support and provide guidance along the way.
2. Cycle to work scheme
Having been around for many years now, the cycle to work scheme is a government initiative to help employees purchase a bike without having to pay tax and national insurance, and to spread the cost over 12 or 18 months[5].
However, there is now an increasing demand for electric bikes as they become more popular thanks to their ability to travel greater distances with less effort.
Cycling is good for the environment, as well as your health, and also means the rider can avoid public transport, and therefore social distance. It’s no wonder it had a boom since the pandemic began, with over half of those who had wanted to take up cycling pre-Covid-19 doing so during lockdown[6].
We don’t anticipate the popularity of the cycle to work scheme fading anytime soon but it will be interesting to see if electric bikes take centre stage as time goes on.
Again, if your company is considering a cycle to work scheme, you can get in touch with us for support; we can point you in the right direction.
3. Climate positive benefits through offsetting
While taking steps to reduce emissions in our daily life is a preferable strategy for improving our environmental impact, offsetting may have a part to play, especially when it comes to activities which don’t form part of our everyday.
Offering your employees a way to offset their carbon can help to tackle emissions that may come from rarer instances, such as flying abroad on holiday, as well as having regular contributions for, say, their weekly commute.
Brunsdon Financial has partnered with Furthr, an initiative that allows staff to offset their emissions through activities like tree-planting.
To find out more, please get in touch with us.
4. Green home improvement loans
While not every business has the resources to offer employees loans at no or low interest rates, those that do may consider offering specific environmental home improvement loans.
It was recently announced that the Government is considering introducing mortgages that are linked to green home improvements[7] . While there maybe a minimal cost for some homeowners to improve the efficiency of their homes, others may find it very hard to afford.
Low interest or no interest rate loans from employers for staff to make their homes greener, may become a more common, welcome benefit in the future, particularly if the Government’s plans go ahead.
