Rising gas prices drive benefits changes

HR Magazine, August, 2008 by Rita Zeidner

More employers are adjusting policies and practices to reduce the pinch employees are experiencing at the gas pump, according to research by the Society for Human Resource Management (SHRM).

In a survey of 553 human resource professionals conducted last May, respondents said their companies were most likely to help by raising their mileage reimbursement to meet the IRS maximum of 50.5 cents per mile, SHRM's researchers found. Since the survey was taken, the IRS has increased the reimbursement rate 8 cents--to 58.5 cents per mile.

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Other popular policies noted by respondents include:

* Flexible work schedules (26 percent).

* Telecommuting (18 percent).

* Public transportation discounts (14 percent).

* Rewarding employee performance with a gas card (14 percent).

Rising gas prices also are spurring some HR professionals to change their own longstanding practices. Some early trends identified by respondents:

* Redoubling efforts to recruit people living closer to the office.

* Advancing gas money prior to travel, rather than after.

* Partnering with local hotels for discounted pricing for employees with long commutes.

* Allowing employees to transfer to offices closer to home.