Workplace incentives for fuel-efficient cars
Reading The Wall Street Journal over breakfast a while back, I noticed an interesting article titled "Workers Get Incentives to Live Greener" that mentioned employers who give workers financial reasons to buy fuel-efficient cars. Clif Bar, makers of energy bars, give forgivable loans if you buy a car that gets at least 40 mpg. NRG Systems, who makes wind-measurement equipment, gives a $1,000 bonus to employees who buy a Toyota Prius. And, although it wasn’t mentioned in this article, Google gives $5,000 to workers who buy a car that achieves 45 mpg. (Hybridcars.com has a list of employers who offer such fuel economy and hybrid incentives.)
Another company that offers incentives is Topics Entertainment, a Washington software publisher. Their incentive program is considerably wider-ranging. To get those above incentives, based on what’s on the market today, you’re essentially limited to buying a new Toyota Prius. Not bad, but not for everyone.
Topics’ program covers other ways to improve fuel economy. Employees get $1,000 to trade in their current car for a new one with a smaller engine and additional money for going from a V8 to a four cylinder or buying a hybrid. That gives employees a wider range of vehicles from which to choose.
For the most part, this is a great idea. You don’t need to go all the way from a Suburban, Expedition, or Land Cruiser to a Prius to get considerable fuel economy improvements. For example, trading in a Jeep Commander for a Saturn Outlook would save 3 mpg (13 vs. 16 mpg, overall, in our tests).
As a general rule of thumb, an engine with a lower displacement or fewer cylinders typically consumes less fuel, thus creating less carbon dioxide emissions than a bigger engine with more cylinders. (This is discussed in my earlier blog "You coulda had a V8... but who needs it?' Indeed, some European nations have taxes based on vehicle engine displacement.
But there are some exceptions to the rule:
| If you trade this... | For this... | …you can save this many mpg (based on CR's overall fuel economy) |
| 2000 Subaru Outback (2.5-liter, four-cylinder) | 2008 Toyota RAV4 V6 (3.5-liter, six-cylinder) | 2 mpg (20 vs. 22) |
| 2004 Volvo S60 2.5T (2.5-liter turbo, five-cylinder) | 2006 BMW 328i (3.0-liter, six-cylinder) | 2 mpg (22 vs. 24) |
| 2005 Chevrolet Cobalt LS (2.2-liter, four-cylinder) | 2008 Volkswagen Jetta (2.5-liter, five-cylinder) | 1 mpg (23 vs. 24) |
| 2007 Mazda CX-7 (2.3-liter turbo, four-cylinder) | 2008 BMW X3 3.0i (3.0-liter, six-cylinder) | 1 mpg (18 vs. 19) |
| 2006 Hummer H3 (3.5-liter, five-cylinder) | 2008 Volvo XC90 V8 (4.6-liter, eight-cylinder) | 2 mpg (14 vs. 16) |
| 2004 Mazda RX-8 (1.3-liter rotary, zero cylinders) | 2008 Ford Mustang GT V8 (4.6-liter, eight-cylinder) | 2 mpg (18 vs. 20) |
Why do some of these disparities exist?
To sum up, if you want to improve fuel economy, you usually can’t go wrong by buying a car with a smaller engine. But take a quick look at the fuel economy numbers to make sure.
Visit our fuel economy hub, and see our list of best cars for fuel economy.
Posted by: Used Motorcycle Parts | Apr 5, 2008 2:07:20 AM
I have heard of companies offering perks like this sometime last year somewhere although I can't quite remember where or else I would share it with you as it had a nice list. I wish my company would decide to offer me a bonus to switch to a fuel-efficient car, I know I'd take them up on the offer.
Great blog you have here I will definitely need to join the RSS Feed.
-Scott
Posted by: John Brent Gavino | Apr 7, 2008 7:06:43 AM
People actually pay others to buy or trade fuel efficient cars? Wow, wish we had that in the Philippines, considering on how expensive gasoline is nowadays. I can't even use my car everyday, couldn't afford it, commuting is now cheaper though, less comfortable.
Posted by: Marie Gregg | Apr 8, 2008 9:52:49 AM
I once had a small Suburu car that got 50 mpg back in the '80's.
If they could do it then, why not now?