This article was prepared by Auckland Transport and is being published by the New Zealand Herald as advertorial.
Auckland businesses are turning to a new public transport initiative to cut costs, reduce emissions, and attract talent – without the tax sting.
Fareshare, a programme from Auckland Transport, allows employers to subsidise staff travel on buses, trains and ferries. The scheme is exempt from fringe benefit tax (FBT), making it a rare win-win for employers and employees alike.
John Fillmore Contracting Limited was one of the earliest businesses to sign up to Fareshare. Executive general manager Sam Lockie said Fareshare is helping the company to reduce emissions.
“Providing public transport options for our teams, especially those travelling into our CBD projects means we’re playing our part in reducing carbon emissions,” Lockie said.
“We know that every journey helps in the reduction of carbon emissions and traffic congestion, so we’re excited about Fareshare and being able to incentivise public transport for our teams.”
Not only does Fareshare make commuting more affordable for staff, but it also demonstrates a company’s commitment to sustainability, helps to reduce Scope 3 emissions and can sometimes save thousands of dollars on car parking costs.
Scope 3 emissions – those generated indirectly through activities like staff travel – are increasingly under scrutiny in climate disclosures and sustainability frameworks. Fareshare provides a practical way for businesses to reduce and report on these emissions.
Commercial property firm Samson Corporation also offers Fareshare for its staff. Sustainability manager Bridget Pyc said Fareshare helps to reduce emissions while giving staff an alternative to battling traffic.
“After completing our annual carbon emissions reporting, I was looking into what we could do to reduce the emissions associated with staff commuting,” Pyc said.
“With Samson supporting staff via Fareshare discount, we’ve seen the team jump on board and received really positive feedback.
“We’ve heard from staff that it’s taking the frustration out of getting stuck in traffic on the way home. ‘I get home faster and I’m saving money’!”
Employers can choose to subsidise 25%, 50%, or 75% of their employees’ public transport fares. The discount is applied directly to AT HOP cards and can cover weekdays or the full week. The system is easy to set up and manage, and is available to businesses of all sizes. On average, employees with Fareshare increase their public transport use by 30%, doing their part to reduce both congestion and carbon emissions.
Auckland Transport says Fareshare has been embraced by a range of businesses across multiple industries, from small start-ups to organisations with 500 plus employees in sectors like energy. Businesses have the choice to start small, with a 25% subsidy, and then easily scale this up as they see the benefits in staff public transport uptake, savings and sustainability outcomes.
On average, employees using Fareshare increase their public transport use by 30%. This shift not only reduces congestion and emissions but also supports Auckland’s broader climate goals.
To learn more or register your business, visit www.at.govt.nz/fareshare.