As employers and job seekers try to connect with each other, a transportation gap often keeps them apart.
A new study by Goodwill of Western New York and the University at Buffalo Regional Institute illustrates how not having a car in Western New York can greatly limit access to jobs.
On the flip side, the pool of workers employers can draw from is limited by the transportation gap, at a time when the labor supply is tight.
Ebony Tompkins, left, and Sherry Morley package products at Tapecon. The pair use Tapecon’s transportation benefit to get to work at the company. Tompkins uses it on a bus pass and Morley carpools with her husband and cashes the benefit out.
The report found workers without a car earn $20,400 less annually on average, are six times more likely to live in poverty and are more than twice as likely to spend 90 minutes or more per day commuting. They also have access to one-third fewer jobs.
In some cases, employers are located in the suburbs and not readily accessible by public transportation, making it harder for workers to get there. It gets more complicated when workers have to figure out how to align their work schedules and their child care needs.
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The issue can be even more pronounced in rural areas, where public transportation is more limited and workers have to travel farther to get to jobs, said Thomas Ulbirch, president and CEO of Goodwill of Western New York.
The report also found that the typical manufacturing and technology company in the region would have access to 18,710 additional workers if the transportation gap were closed.
Goodwill of Western New York recently hosted a roundtable of workforce providers and employers to talk about potential solutions. One employer talked about trying to use a “vanpool” to bring employees to work but ultimately found the program wasn’t cost effective.
“What I really appreciated about the employers was the willingness to talk about real things and not sugarcoat things,” Ulbrich said. “I think that’s how you get to solutions eventually.”
Tapecon, a family-owned manufacturer with 110 employees based in Larkinville, has taken steps like offering flexible schedules and a transportation stipend, said Steve Davis, the company’s president.
Tapecon executive assistant Kirk Kostrzewski, president Steve Davis and human resources generalist Sarah Lewandowski at Tapecon.
Tapecon was subsidizing parking fees for employees who drove cars to work, but decided to expand the program to benefit all its employees, Davis said. The company began offering a $75 monthly transportation stipend, regardless of whether they drive cars to work, ride bikes, take the bus or walk.
Sixty percent of Tapecon employees use the stipend to pay for parking and 10% use it for a bus pass, while the other 30% have found a different way to get to work – walking, riding a bike, parking on the street – and are pocketing the stipend.
Davis said flexible schedules are another way the company attracts and keeps workers. “Our employees cite flexibility and family approach as the No. 1 cultural strength in our company,” he said.
Other employers might find transportation solutions that work better for them, but the key is to explore the options, Davis said. “It’s worth doing the analysis with your employees so you can tailor the solution to the needs, and not come in with a predetermined kind of solution.”
GO Buffalo Niagara, a program of GO Bike, offers a 20-minute free virtual transportation consultation to residents of Erie and Niagara counties to help identify solutions, said Christine Krolewicz, GO Buffalo Niagara program manager.
“Employers can help lead this shift by providing amenities that support other modes of transportation besides driving alone,” Krolewicz said. “Most employers tend to focus on free parking, which only serves to perpetuate the transportation imbalances in our region.”
For instance, employers might encourage employees to bike to work by offering secure bike parking, or even providing shower facilities and lockers at the workplace, she said.
The idea is to think beyond relying solely on personal vehicles to get to jobs, Krolewicz said. “If we didn’t have to be dependent on personal vehicles, we could build personal wealth and improve our communities and environment.”
Remote work has become more commonplace since the pandemic hit, but not all jobs have a remote option. And even for a job that might eventually become remote – like call center work – a new hire typically needs to attend in-person training, so transportation is still a factor.
The Goodwill study with the UB Regional Institute outlines a variety of employer-led solutions to help close the transportation gap, including flexible schedules, transportation alternatives and financial incentives. For example, employers can establish partnerships with ridesharing services to offer employees free or subsidized rides to and from their homes, or a transit hub.
“There is not one option that fits all transportation challenges,” the report said. “The best approach will depend on factors such as location, employee needs and preferences and budget.”
Ulbrich said he sees continued interest by employers in working on closing the transportation gap: “They are willing to think about this creatively, because it is going to help their bottom line, and it is going to help the community.”
