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Govt offers firms cash grants to spur off-peak commuting

SINGAPORE — Following lukewarm response from firms to a pilot scheme to support off-peak commuting, the Government is dangling cash grants for employers to adopt flexi-work arrangements as well as encourage alternative modes of transport, such as cycling.

SINGAPORE — Following lukewarm response from firms to a pilot scheme to support off-peak commuting, the Government is dangling cash grants for employers to adopt flexi-work arrangements as well as encourage alternative modes of transport, such as cycling.

To nudge more companies to participate in this new initiative, called Travel Smart Network, the Government is giving each company up to S$30,000 to engage approved consultants to conduct employee travel pattern studies and develop tailored action plans from Nov 1.

They can also apply for grants of up to S$160,000 annually, for up to three years, to implement flexi-travel arrangements, such as installing bicycle parking facilities or shower facilities at workplaces, or to pay for breakfast vouchers for staff.

On top of these, employees of companies that participate in the initiative can sign up for the corporate tier of a rewards programme, earning them more points than regular commuters for travelling during off-peak hours. The more points one has, the higher his chance of winning cash prizes awarded monthly by the Land Transport Authority (LTA).

The Travel Smart Network scheme will be open initially to companies with more than 200 workers and which are based near MRT stations.

Yesterday, Senior Minister of State (Transport) Josephine Teo noted that cost was not the main challenge that companies face in supporting flexi-work arrangements — the pilot launched in October 2012 attracted seven companies and has since managed to get only another five on board. Rather, such a change requires a mindset shift, which does not happen overnight, she said.

“A lot of work is required by the companies,” she said. “Some managers are still uncomfortable with it ... I think we have to respect the need for people ... to get used to the idea.”

Responding to the initiative, analysts agreed that a workplace culture that does not encourage flexible hours is a bigger obstacle to employees travelling to work earlier. While the jury is still out on the effectiveness of the grants, they are a step towards enticing the buy-in from the top management in companies, they noted.

Nanyang Technological University economics professor Walter Theseira said inertia might prevent some companies from doing what is in their best interest and that “sometimes you need to be nudged into doing something”. Firms in Singapore also do not have a strong culture of granting autonomy to employees, so the Government is trying to instil a new philosophy by getting buy-in from the top management in companies, he noted.

Transport researcher Alexander Erath from the Singapore-ETH Centre pointed out that the LTA’s options to address the problem in the short term were limited, which may be a reason it is reaching out to companies that are already keen on flexible arrangements. “What counts in the end to the LTA is the number of trips that gets shifted. It is easier to get another, say, 10 per cent of employees travelling early in a company that already has flexi-work arrangements than to convince a new company of the concept and get the first 10 per cent of their employees to start shifting their trips,” he said.

Citi Singapore’s human resources head Evangeline Chua said many managers are afraid that flexi-work arrangements may affect day-to-day operations. Employees are also hesitant to make changes to their work schedules as colleagues may perceive them negatively. The bank, which has signed up for the pilot, has increased its free bus shuttle services from MRT stations by 20 per cent and allowed varying of workday start and end times, part-time schedules and compressed work weeks.

Audit firm KPMG also implemented a flexi-work scheme and a programme called Rise and Shine Fridays in the past two months, which comprises a workout and free breakfast. Mr Stephen Tjoa, the firm’s partner for people, performance and culture, said 15 per cent of its staff have participated in these programmes, which has resulted in a significant drop in staff turnover in the past two years.

Some companies TODAY spoke to were keen on taking up this initiative, but others said it did not apply to them due to the nature of their work. The Lo & Behold Group, which owns several restaurants, said the scheme was not applicable due to the shift work and the general nature of the industry.

DBS Group managing director and head of rewards Cheong Meng Foong said it already offers employees flexible working arrangements, but that it would like to work with a consultant to look for ways to encourage people to be more productive. To tackle the mindset issue, it has sent managers for training to raise awareness that “this is the new way of working”, she said. “If employees see top management agreeing to (such arrangements), it is natural that next line managers ... will take the cue from that.”

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