A new report by the Global Business Travel Association Foundation revealed that when employees on a business trip and run into problems, the company suffers. According to the Business Traveler Study 2014: The Cost of Mishaps, travel troubles, on average, lead to 2.3 lost work days and $1,475 in missed productivity as well as out-of-pocket expenses.
“Seventy-five percent of business travelers experience at least one mishap every year so when these mishaps do occur, they have financial impact on companies,” Joseph Bates, GBTA’s vice president of research, told USA Today. “The bottom line is it costs travelers time and it costs companies money.”
The results of GBTA’s survey of 533 business travelers showed that 87 percent of business travelers’ mishaps were due to air travel, and 52 percent of those issues were because of a canceled flight. USA Today reported that canceled flights were the most troubling problems business travelers faced.
Bates added that a canceled flight can often cause travelers to miss a connecting flight and possible the meeting if the trip is a short one.
“Whereas if you have lost luggage or damaged luggage you can still have your meeting without your change of clothes if absolutely necessary,” he told the source.
The source reported that all travelers typically experience at least one hiccup each year, so when employees are taking several trips then it’s more likely that they will run into issues while they’re out. Another issues is that many of those going out on business travel do not always have travel insurance, and even if they do they may not understand what to do when they run into trouble.
“The biggest issue … when you have a mishap is knowing who to call,” Bates told USA Today. “It may not change the cost, but it absolutely can have an impact on the speed with which the mishap is resolved.”