- It's been two years since France introduced a "cycle-to-work" reimbursement scheme.
- A study of the scheme carried out by the Observatoire de l'IKV showed the number of employees cycling to work shot up by 70% in the companies that implemented the scheme.
- Companies are incentivised to reimburse staff who cycle to work so it's a win-win situation for both employers and employees.
More cyclists, less sick leave and all-round savings for employers and employees alike — this is what happened for companies who implemented the expensed "cycle to work" scheme, according to a study carried out by the body monitoring the scheme, the Observatoire de l'IKV.
Introduced in France over two years ago as part of the Energy Transition Act of August 17, 2015, the scheme was devised to help employers reimburse employees who get to and from work by bike, with a statutory law being established on February 11 2016, fixing the rate of remuneration at ¢29 per kilometre.
On carrying out a survey amongst 57 employers who had implemented the scheme within their own companies, the Observatoire found that the number of employees who cycled to work went from 8% to 10% over two years, equating to an increase of 31% since the implementation of the scheme.
On looking at the statistics for companies and NGOs within in the environmental sector in isolation — where 90% of employees already used their bike before the law — the increase is even greater: the number of cyclists increased from 3% of employees to 5%, a jump of 69.2%
The reimbursement scheme is exempt from social security contributions
The study's results show that companies who had implemented the scheme saw a positive impact - not just on their public image, but on car parking costs and transport expenses — not to mention improved employee satisfaction.
The overall cost of the scheme is also relatively low. This is because the scheme is exempt from social security contributions for up to €200 euros per year per employee and most employers don't even hit that figure.
This scheme costs the French state nearly €190 million ($220 million) a year, but according to the Observatoire's study, this is almost immediately offset by savings in health expenditure.
And what's more, the study found that employees who cycle are, as one would expect, in better physical and psychological health. As a result, those who cycled to and from work ended up contributing to a 15% reduction in the amount of sick leave taken, as well as a reported reduction in stress, caused by road conditions and the costs of running a car.
SEE ALSO: This electric bike is disguised as a car