Right on track

Following a pilot of the policy that was launched in Q1 of 2023 – and had been inspired by Deutsche Bahn’s Climate Mobility Challenge – it is now a permanent feature of the company’s travel programme in Germany and has seen rail’s share of domestic trips at Parexel increase from 65 per cent to 96 per cent of trips.

Although first class rail travel is typically more expensive than flights – “which is wrong,” said Park – the productivity gains for travellers able to work onboard mean rail travel delivers a greater return on investment for the company, explained Park. The company is now considering offering a similar incentive to its travellers in France, Spain and Italy.

The concept was hailed a “resounding success” in Parexel’s 2023 Environmental, Social and Governance report published in July, and was achieved in spite of challenges from industrial action across Germany’s rail network and the impact of adverse weather. More than two million passenger kilometres were travelled using local and long-distance trains by Parexel employees in 2023.

In Germany, the total number of domestic flights taken was 111 in 2023, with six employees accounting for more than half of them. Of those 111 flights, 35 exceeded the 4.5-hour threshold for rail, leaving a net 76 flights that could have been made by train.

“Only four per cent of trips [in Germany] are now flights and if you look at those trips it’s people that are flying on a route that would be a seven-hour train ride,” said Park.

The policy has helped the company reduce its emissions from air travel in Germany by 30 per cent year-on-year, and contributed to a reduction in global CO2 emissions from air travel in 2023 of 34 per cent from a 2019 baseline, according to the report.

In addition, it noted the company has reduced the average emissions from its company car fleet by 15 per cent, from 123g/km in 2019 to 104g/km in 2023. Since January 2023, all new car orders have been for electric or non-plug-in hybrid vehicles and the company expects its whole fleet – which currently numbers around 800 cars – to be entirely comprised of such vehicles by 2026.

Meanwhile, Parexel car rentals in Germany were reduced to 53 last year – down around 30 per cent from 2019 – and electric vehicles are encouraged wherever possible. In fact, Park noted that employees renting EVs are not required to return them fully charged – one of the key blockers of EV car adoption.