Cost, cash flow impact, and uptake expectations?

Cost, cash flow impact, and uptake expectations?

Cost, cash flow impact, and uptake: Understanding how Workride may impact a businesses cash flow, based on team size and expected uptake.  

Workride operates without a sign-up or operating fee and is cost neutral across a 12-month period for every ride benefit raised. Employers are responsible for funding the scheme for participating employees, which introduces a cash flow impact consideration. This impact varies based on team size and the strategy for rollout. The employee's selected ride will determine the cost for that specific employee benefit; while there is no strict cap on ride costs, the average benefit value per employee is $3500. 


International trends indicate a 10% uptake among employees in the first year, which then stabilises to 5% in subsequent years. It should be expected that 40% of staff will use the Workride within the first five years. To effectively manage the cash flow implications, employers have developed various strategies:

  1. Smaller teams utilise "Virtual Queues" spacing out employee participation over time to evenly distribute financial obligations. 

  2. Larger organisations opt for setting a quarterly or annual budget. Leveraging the B2B dashboard for real-time expenditure monitoring, controlling benefit approvals within set spending limits.



Other less common approaches to manage cashflow include:
  1. Limiting access initially to staff located in specific offices.
  2. Limiting access initially to staff that have been employed by this company by XX months or X years. 
  3. Limiting access initially to certain internal business units.

Note: Less that ten employers nationwide have put a price limit on ride benefits due to this being self regulating. Those desiring a higher quality ride benefit (more expensive) find Workride significantly more meaningful and valuable if their employer is able to facilitate this for them. 
 
Some employers may implement a price guidance, with anything above $XX,XXX requiring their managers approval as an example. 


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