1. Purpose

This policy outlines the terms and operational processes for offering the Workride ride-to-work benefit program to eligible employees. Workride is a fully compliant pre-tax salary sacrifice benefit that allows employees to access a bike, e-bike, or scooter for commuting purposes. The initiative supports staff wellbeing, sustainability, and encourages active transport while ensuring full compliance with Inland Revenue (IR) guidance and internal financial controls.

2. Program Overview

Workride operates under Inland Revenue’s CX19D tax ruling and allows employees to reduce their gross (pre-tax) income in exchange for use of a commuting bike or e-bike. Employees receive a cost offset of 32–63% depending on their individual tax settings.
The program is fully administered by Workride via a secure digital platform, with minimal setup required by HR, Payroll, and Finance teams. Workride retains legal ownership of the equipment for 12 months, after which it is gifted to the employee upon successful completion of their obligations.

3. Eligibility Criteria

To ensure fair access and risk management, the following eligibility criteria apply:

• The employee must be a permanent employee with at least [3 months] of continuous service.

• Fixed-term employees may be considered at the discretion of the HR team if their contract exceeds the 12-month lease period.

• Employees must not currently be under formal disciplinary action or in a performance management process.

• Participation is voluntary and subject to final approval from HR/Payroll/Benefits.

4. Conditions of Use

Employees must agree that the primary purpose (50% or more) of the bike/e-bike is to commute to and from work. This obligation is documented via the salary sacrifice agreement and is a requirement for tax exemption under IRD’s guidance.

• Employees are not required to use the bike every day, but regular commuting should be the dominant use.

• Staff with company vehicles (e.g. tool-of-trade or fleet vehicles) may still participate by alternating modes of transport (e.g., biking on days the vehicle isn’t required, leaving the vehicle at the office, or using the bike for partial commutes).

• Misuse of the benefit, or failure to meet this commuting threshold, could result in personal FBT liability.

5. Payroll and Salary Sacrifice Administration

• Workride provides all required digital documentation and notifies Payroll once a benefit is ready to be activated.

• Payroll must enter the sacrifice into the employee’s record on the next pay cycle following collection.

• Employees are notified of the sacrifice commencement and will see this reflected in their payslip impact.

Early Termination:

• If an employee resigns or is terminated before the end of the 12-month lease, they are contractually required to settle the remaining balance via final net pay or lump sum payment.

• Workride as owner of the equipment supports employers through this process, and if un-successful can do so via asset recovery or cost recoupment.

6. Insurance & Asset Responsibility

• Employees hold legal possession of the bike/e-bike during the lease term but not ownership.

• Workride and [Your Company Name] strongly encourage employees to ensure that they have appropriate contents insurance or protection in place.

• Any damage, loss, or theft is the employees responsibility. Responsibility for ongoing maintenance or repair rests with the employee also.

7. Procurement and Invoicing Process

• Upon HR approval, Workride issues an invoice to [Your Company Name] for the total cost of the benefit. This should be processed via standard Accounts Payable procedures.

• Pick-up codes for employees are only released once Workride receives payment from [Your Company Name].

8. Internal Approvals and Recordkeeping

• Employees initiate the benefit via Workride’s sign up page using a secure company password.
  

• The salary sacrifice and lease agreements are digitally signed by the employee and then countersigned by an authorised HR or Payroll representative via Workride's process.

• All records are stored digitally by Workride, accessible via the employer dashboard. Employers should retain a copy of signed agreements for audit purposes.

9. Communication & Support

Employees will receive onboarding materials, FAQs, and video guides from Workride. Internal champions from HR and Payroll are encouraged to familiarise themselves with the program.
For any questions, contact:

• HR/Payroll Contact: [Insert Contact Name & Email]

• Workride Support: support@workride.co.nz | www.workride.co.nz