3 easy parking policies to motivate employees

August 21, 2013

Who doesn’t love free parking? (Image from StockMonkeys.com)

There are few satisfactions on par with getting a perfect parking spot: maybe cooking a steak just right or bringing a child into the world. When the car slides into a convenient parking space, there is that rewarding feeling of relief and accomplishment. Parking is a desirable asset, and many employers use it as a way to motivate employees. Employee parking can be an effective benefit or reward for workers on any level, from fast food cashier to executive. To help you consider your employee parking options, we’re sharing three parking models that are easy to implement and fit to your unique business.

1) Show your employees you care with “free” parking

Everybody loves a free parking spot. However, as we’ve explained before, free parking isn’t exactly free. Upkeep and opportunity costs should be factored in, which can amount to a lot. That’s why many company lots require permits or ID checks. Therefore “free” parking for employees is considered a part of a benefits package, just like a gym membership or even childcare. In larger cities, where parking is factored into the cost of living, free parking for employees can even function as a recruiting tool.

2) Motivate employees to succeed with tiered parking

Ever lust after a parking spot? Ever leave home early to get good parking? This reveals the high value of a well-placed section of asphalt. Employers can use this real estate to designate and reward leadership by handing out reserved parking spots to supervisors, managers, and CEOs. Tangible benefits like a hierarchy in the parking lot can motivate employees to excel. Another way to use tiered parking is by designating the best spots to “employee of the month” programs. In these, employees are rewarded based on sales, work ethic, or other performance metrics.

However, tiered parking also has its pitfalls. A tiered parking structure could reflect a stark contrast in companies with a flat managerial structure, high amounts of collaboration, and overall openness. This could result in an unintended competitive environment, the isolation of over-productive employees, and even resentment. Employers will need to weigh the costs and benefits of performance and hierarchical-based parking incentives. Ask: is this the style of our company? It can be a great way to use an often overlooked resource to encourage employees to succeed.

3) Green parking incentives for the greater good

Today, many companies don’t have to choose between cutting costs and protecting the environment. You can motivate employees to do the same with a carpool program. Many universities, such as UCI and Texas, which are notorious for scarce parking, have instituted programs that issue reduced permit fees and priority parking spots for faculty that choose to carpool. This not only protects the environment, but it increases parking spot availability. Even if you don’t own a parking lot, many employers will subsidize parking for their workers if they carpool. Another green option is privileging electric cars or hybrid vehicles.