How the Other Half Travels
onstop flights. First-class seating. Four-star hotels. Gourmet dining. Cabs and limousines. Lavish expense accounts.
Private sector business travelers live in the lap of luxury, right? Well, to some extent.
The truth is that during the past decade, corporations have adopted many of the travel rules used by government. And government, ironically, is handling its travel more and more like the private sector does. But federal travelers still have a boatload of gripes about life on the road, and most of them are about things that would bother anyone.
Federal Cleanup Act
Believe it or not, traveling for the government used to be a lot worse. Just seven or eight years ago, workers trying to make travel arrangements often had to wait half an hour for someone to pick up the phone, says Gloria Bohan, owner of Omega World Travel, one of government's top travel agencies. And federal travel agents didn't provide services routine in the private sector, such as ticket delivery or help arranging personal travel.
Simplification of travel regulations also has simplified life on the road for federal travelers. New programs such as those designed to share savings with employees who stay with friends or relatives make federal travel more flexible. And this year's increases in per diem lodging rates, especially for some expensive major metropolitan areas such as New York, also are designed to make life easier for feds on the road.
Tightening Corporate Belt
Meanwhile, corporate America, running scared from skyrocketing airfares, has recently adopted many of the controls already in place in government. Companies are negotiating volume deals with hotel chains, airlines and car rental firms. They're asking - or requiring - travelers to drive instead of fly, to make connections or to stay over Saturday night.
David Dulin, commercial operations director for SATO Travel, works with large companies such as 3M, IBM and Lockheed Martin, so he sees the trends firsthand. "Over the last few years, the larger corporations have introduced a lot of control over expenses," Dulin says. "They're imposing the same travel patterns and behaviors as the government, like forcing travelers to use preferred suppliers. It's not a bed of roses anymore for these people."
"Companies that have shareholders and have to meet budgets have a very, very sharp pencil when looking at the budget," agrees Bohan, whose agency also serves private-sector clients.
Most corporations require all but the chief executive officer to fly coach, and they allow airline seat upgrades only for trips of more than six, eight or even 10 hours, according to American Express, SATO and The Corporate Traveler newsletter.
So if corporate America is cracking down, who is enjoying all that legroom in first class and business class? Most are business travelers who have received frequent-flier upgrades, say travel agency and airline executives. Almost 60 percent of travelers who fly for business belong to a frequent-flier program, according to the Travel Industry Association of America.
Still, in much of the corporate world, luxury is routine. The prime justification is the need to impress clients, potential clients or peers. "If you're meeting another high-level exec, there's a certain standard that says you need to be at the Four Seasons," Bohan says.
Routine Indignities
So how bad do federal travelers have it? They face a host of routine indignities that corporate travelers could never imagine. Paperwork is high on the list.
One Army procurement analyst reports being required to submit five copies of all travel voucher documents, including all receipts. "Heaven knows who keeps them all," he says. Many travelers have experienced the frustration of trying to get state taxes taken off a hotel bill. And many cite what they call "a penny-pinching mentality."
In some locations, reports Federal Aviation Administration employee David Downey, getting a room at the per diem rate is impossible, so he has to pay more and then request reimbursement for the difference. "In West Palm Beach, for example, the difference is $7 a night," Downey says. "To get the reimbursement takes the signatures of one GS-14, one GS-15 and one SES. Not a very frugal use of taxpayer dollars."
Inconvenience is another common complaint. "[We've been] told to drive to and from a major 'hub' airport and take a flight from there," says Gail Parker, a supply systems analyst with the Army. "At Redstone Arsenal, Ala., for example, a lot of federal employees are required to drive to Nashville, Tenn. (110 miles) or to Birmingham, Ala. (98 miles) before we can get a flight, even though there is an international airport right in Huntsville."
"This petty mentality is not very cost-effective at all times," says a Veterans Affairs Department employee. "There are no incentives or benefits for using personal time or effort for government business: Collecting frequent -flier miles isn't allowed, there's not enough money to cover modest meals, calling home is restricted and the lodging per diem isn't realistic. All in all it is very frustrating. Bring on the video-teleconferencing."
Movin' on Up
Some federal workers feel it's worth the money to create a private-sector travel experience for themselves. One senior-level Justice Department manager, for example, routinely stays at the Ritz Carlton; if he can't get the government rate, he pays the difference out of his own pocket. He lets his staff and co-workers know where he is and that the government isn't footing the bill. In many years of doing this, he says, none of the people he travels to meet with has asked him if he is wasting taxpayer money. Amenities, service, convenience, location, security and productivity are the GS-15's top reasons for paying $50 to $100 a night above the government rate.
The manager, who travels 15 percent to 20 percent of his time, takes a similar approach to flying. He flies coach in the United States, but for overseas travel, he upgrades and pays the difference. The paperwork is more complex, but he thinks it's worth it.
Federal and Loving It
Some government travelers actually sing the praises of the federal lifestyle, citing the city-pair fares, the car rental contracts and more. "The GSA rates are the best travel rates in the country. I can fly from Washington Dulles to Los Angeles round trip for $199. That is a bargain," says Ira Grossman, who is on the systems engineering staff at National Oceanic and Atmospheric Administration. "Car rentals are cheaper with the government and I get to use Hertz, Avis or National, also."
The government's receipt rules actually are looser than those of most private companies. Almost half of companies require receipts for all expenses. A mere 5 percent require them only for expenses of $50 and above or have no policy, according to The Corporate Traveler newsletter. (The General Services Administration recently raised the government receipt threshold to $75.)
Some government travelers even praise the per diem program. "[It] works well in many cities, allowing us to stay at Hilton, Hyatt or Marriott-quality properties," says Joseph Pepper, who travels the mid-Atlantic region marketing savings bonds for the Treasury.
In the end, only people who don't travel think it's a perk, says OAG's Curt Reilly, who travels both for the private sector as an OAG employee and for the government as a reserve officer. Donna Casey, government travel accounts director for American Express, agrees: "Traveling is not luxury for anybody. Every company and government has a travel policy - everyone has rules to go by."
COMMENTS
- I too work for a company that has cut expenses. I travel from us to asia and europe. My company does not even pay for meal expenses, they come out of our pockets. I am not used to this way of traveling. In the past companies took care of their business travelers. I stay away from my family for several months at a time. I am not happy with this policy and think they should at least pay for meals since I am away from my family. jd Posted October 1, 2007 6:00 AM
