An innovative benefit allowing employees to contribute towards the cost of a work provided device. This supports hybrid or remote working, eliminates the need for employees to have work & personal devices whilst helping the environment.
John Smith Ltd has 500 employees on payroll, in sales, marketing, customer services & finance roles. More than half work in sales or marketing & 10% of all staff occupy leadership positions.
50% of employees are provided with a business mobile & airtime contract for work usage, either due to seniority or because they spend some time in the field. Of these employees, approx 60% also pay for their own personal mobile phone &/or airtime contract.
During the pandemic, the organisation has got used to doing more business on zoom & anticipates less business travel in the future. Given productivity has not declined, they are introducing a new hybrid work policy so employees can work outside of the office 2/3 days per week.
Common remote work issues so far have typically been bandwidth related, or in some cases employees didn’t have the latest tech needed to access applications.
The organisation wants to ensure productivity & employee engagement, & feels it should contribute to home connectivity, but is unsure of the best approach to take.
Current Position:
As per the scenario above, John Smith Ltd currently funds 250 iPhones, each with an Unlimited O2 Business Airtime tariff. The contract is due for renewal.
The cost to renew and upgrade to an iPhone 12 64GB (5G) with an O2 Unlimited Tariff over 36 months is shown below.
250 x iPhone 12:
£4,548.61 per month
250 x Unlimited Airtime:
£5,012.50 per month
Total per month:
£9,561.11 ex VAT
As 60% of the staff provided with a business mobile also pay for a personal phone & airtime contract, SmartAdvantage should be a very attractive proposition that would provide a significant saving for both employer and employee.
Using SmartAdvantage:
Through the SmartAdvantage Scheme the employee would only contribute a proportion of the cost.
See the savings example below, which uses a 70% employee contribution model over 36 months and is based on the 250 employees currently utilising business mobiles.
250 x iPhone 12:
(on 3 year operating lease)
250 x Unlimited Airtime:
(includes calls, texts, data)
Total per month:
£2,682.75 ex VAT
Employer Savings vs Current Position
Monthly:
Saving over 3 Years:
£6,878.36
£247,621.00
If the organisation offered all 500 employees the chance to join the SmartAdvantage scheme they would still save over £4000 per month versus the current position.
The iPhone 12 64GB with Unlimited Airtime via SmartAdvantage will cost an employee £30 a month, deducted over 36 months via payroll. A saving of 40% versus the equivalent bundle on the high street.
We handle the delivery of devices and collection of trade-ins from either home or office addresses.
At the end of the scheme we will handle the collection of devices and will offer employees the chance to join again.
Employee Scenario
Simon, 29, Sales Exec
Simon has worked in a Sales Office for 10 years & was mainly office based prior to Covid-19. His employer is now adopting a hybrid work policy & Simon has chosen to work from home on a Wednesday & Friday so that he can collect his children from school. He uses MS Office 365 & Teams when at his desk, but he would like to divert work calls to his mobile in the event he is away from his laptop. He would also like to have access to work cloud data/emails when on the move & occasionally use his phone as a back up connection to the internet. Bandwidth can be a real issue at home when his children are home on the Xbox!
Simon currently has a personal iPhone 7, which he bought outright 3 years ago & is fairly happy with, but it doesn’t have 5G & some of the business apps will not be supported for much longer. He also pays £25 a month for a SIM only airtime contract that has expired but that he hasn’t needed to change.
Simon’s employer is launching SmartAdvantage Scheme, Simon can trade in his iPhone 7 for £70 & select a new iPhone 12, & a like for like Airtime Tariff for only £39 per month, which will be deducted over 24 months from his salary. Simon will save approx 42% & can spread the cost over 2 years so is delighted.
His employer contributes to the cost but wanted to ensure productivity & offer a benefit to employees who were increasingly using their own devices for work purposes. Simon will keep his existing mobile number & use an app to route incoming & outgoing work calls through his employer’s telecoms network.
Our mission is to support remote or hybrid working policies in the most cost effective & environmentally sustainable way.
As more data & apps have become cloud based & devices often allow multiple profiles, we want to reduce the number of devices used for connectivity
It is well known that the UK government has very big ambitions to slash carbon emissions by 78% by 2035. MobileAdvantage are acutely aware of this & are truly focused on the challenges facing employers as they endeavour to reduce their carbon contribution.
We allow employers to reduce their carbon footprint by:
Our team & systems are designed to make scheme delivery straightforward. From project planning to roll out, delivery & end of scheme queries, we handle all communications & reporting so you don’t have to. What’s more, if you have an existing partner we can work with them also.
Our leasing model helps with cash-flow & provides a significant saving to employees vs high street rates of credit
Our lease finance solution can save employees approx 10% vs high street credit rates & applies to both new & refurbished devices. As payroll deductions are synced to lease repayments, there is minimal impact on cash-flow and a huge reduction in capital expenditure.