Reduce Parking Costs with Shared Transportation

Cut costs by launching a transportation program.

Parking management is a considerable expense for organizations. This can include the costs of parking infrastructure, technology, and physical space to accommodate single-use vehicles. Expenses proliferate with the cost of maintenance and hidden costs in productivity and negative environmental impact. When organizations invest in shared transportation programs, they can considerably reduce parking costs and foster a more sustainable organization.

Rethink Parking Policies

Offer Parking Cashouts

Imagine the talent attraction and retention benefits of offering employees cash each month instead of a parking space. This strategy can effectively reduce the demand for parking while encouraging employees to try other transportation options. By incentivizing different transportation modes, organizations can consider reducing the number of parking spots and associated costs. 

Eliminate Free Parking

Free parking is often expected, but it's a valuable perk that comes with significant expenses to organizations. Excess driving and parking demand can also be exacerbated by free parking. Instead of offering free parking, charging for this expense can help to discourage single-occupancy vehicle commuting and support shared transportation use. Reinvesting the revenue from paid parking can be directed into shared transportation programs.

The Cost of Parking Construction and Maintenance 

Parking infrastructure capital costs and maintenance are significant. According to Strong Towns,  a typical surface parking stall costs between $5,000 and $10,000 to construct. A parking space in a garage can cost $25,000 to $50,000. Added elements like repairs, lighting and security further increase these costs. Offering a shared transportation program can reduce the need for parking spaces. Organizations can allocate these funds more effectively and reduce overall expenditures. 

Get Leadership Buy-In & Visible Support 

Successful transportation programs need visible champions at all levels of an organization, especially from leadership. When managers and executives promote shared transportation options, it sets a positive example for employees and encourages wider adoption. This visible support can include providing facilities for cyclists, prioritizing carpool parking spaces and planning events that promote shared transportation.

Recommendations for HR Professionals

Understand Employee Needs 

The success of shared transportation programs can be supported firstly by Human Resource professionals. They must understand the varying needs and preferences of new talent, current employees and other people at your organization. HR professionals can conduct surveys and focus groups to provide valuable information about the transportation challenges that employees face and use this data to tailor programs to meet their needs.

Foster More Transportation Options

Transportation options can include Fixed Route, On Demand, FlexRide, vanpooling, carpooling, public transit, biking, walking and more. HR professionals can foster a work environment that supports more sustainable and cost-effective transportation modes. Providing incentives such as subsidies for public transit passes or even your own private transit system can make these options more attractive.

Shared Transportation Means Cost Savings

Rethinking parking policies and investing in shared transportation programs can help organizations considerably reduce parking costs and support a more sustainable workplace. Getting buy-in from leadership, understanding employee needs and fostering a variety of transportation options are critical parts of this strategy. These efforts can create a more efficient and cost-effective approach to transportation management.