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The Engineer
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Mazda - Saving the Environment

12/02/2005 3:43 PM

Mazda is suggesting that it's workers walk to work, and are willing to pay them .$12 a month to do it. Mazda feels this will improve their employee health while at the same time help the environment from reduced emissions.

Where to start on this? Although I think it's a nice idea that Mazda cares about the health of their employees, they didn't exactly put their money where their mouth is. I'm sure having employees that walk to work would help the environment, but not nearly as much as perhaps improving the average MPG for all their car lines by 5 MPG. Still, it's a nice idea to encourage employees to walk. Companies could profit by the improved health of their employees, but in order to be successful, they really need to offer better incentives.

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Guru
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#1

Good Idea

12/02/2005 4:01 PM

This is a good idea that loses some of its appeal with the "let's reduce auto emissions" bluster. Still, any low-cost attempt to improve worker health is good in the long run - not just for the individuals who benefit, for the society that collectively foots the health care bill.

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The Engineer
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#2

I agree

12/02/2005 4:30 PM

It's a great idea for employee health, that's why I get so frustrated. They have 22,000 employees. If they offered $100 a month, they'd have to pay about 22 million extra a year to employees, which sounds expensive. Still, in all likelyhood, not all employees would participate, and in addition, this represents only 7% of Mazda's net income of 320.9 million. Plus there would be savings for the company in terms of increased productivity, lower healthcare premiums, etc. The problem here is, offering $15 dollars a month is like offering nothing at all, what's the point?

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Power-User
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#3

It'll last until the first lawsuit

12/05/2005 10:52 AM

Maybe I'm just a pessimist. I predict that, unfortunately, somebody walking to work will get hit by a car (or something) and a suit will be filed against Mazda because "they enticed me to walk."

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#4

Walking to work

12/05/2005 6:46 PM

A couple of notes regarding the article: 1) It indicates that it only applies to their employees in Japan. So the likelihood of a lawsuit is incredibly diminished. 2) Regarding the $12 per month. Granted it is a nominal amount. I suspect there is a certain argument for that being in addition to whatever money the employee is saving in gasoline and wear on their car. Particularly in Japan where cars are forced to be replaced after a certain mileage (something like 100k km) those "fringe" adders could be significant. 3) Regarding the idea of productivity impact - my guess is that it makes productivity worse. Why? I don't think people like walking home in the dark. Currently, many companies have "effective" productivity gains by uncharged overtime by exempt staff - meaning work per $ payed. Japan is no different in this. If people work fewer hours to provide themselves with a safe time to walk home, then net less work is likely to get done per Yen paid. 4) Given Japan's health care system, I'm not even entirely sure that Mazda gets a significant benefit regarding reduction in health care costs with the potential improvement in health of its employees. Besides, it is probably a wash regarding catching a cold from walking in the winter than a spreading butt from lack of exercise. An interesting approach. Not something that would work im many American cities where the average commute is something like 15 miles.

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