Company car taken away

Pint_of_Gem

Bobl wrote: »

You say you have been receiving £350 per month to pay for the Car you have now, that is a Car Allowance and is in line with what most other companies pay. Will they continue to pay you this? If so then you still have the perk and can either:

a. Buy a Car with a Loan and pay the loan from the £350
b. Lease a Car using the £350

This is a bit confusing now, can you make it clear if you will still receive the £350 per month Car Allowance you are currently receiving?

No, I will not receive any allowance for a car.
Effectively removing a car or allowance for one, from my package. No consultation as "The decision has been made".
I have requested a face-to-face meeting with the company director responsible. Watch this space.

Pint_of_Gem

Sambucus_Nigra wrote: »

I can see you are livid but you need to calm down and think rationally.

You said there is no allowance, then mention £350 a month to pay for the car. Is this a new amount?

If you take this money and use it for getting around, how much will that cost you a month? How often do you travel and how far? What are the arrangements for travel time?

If you bought a car for, say, 4k; and used that money to go towards it; how much would your mileage be from them?

I had a company car for years and much preferred the allowance, and mine was £350 per month at 25p/40p mileage rates. The miles I do more than pays for the car even at my current rates [no allowance at all as I work for a charity].

Look at all the options and work out a month by month costing and then negotiate with them a suitable recompense.

£350 per month is the current situation. This is being removed and will be £0 from March.

Pint_of_Gem

Bobl wrote: »

It depends on what your contract or offer letter says. Not all Company Cars (or allowance) is a contracted right, some are 'job related' which can be taken away at any time.

If the Car is a 'perk' they can take it away without your agreement as longs as they 'consult' you; which they have in plenty of time.

Check your contract and post what it says.

I think it is as you say - 'job related'.
I am not denying that they CAN take it away, more that they actually ARE and how unfair and de-motivating this is. A great way to treat your staff, no?!

Any

Yes, I would definitely call ACAS. If they have always given you car/then car allowance, then it is part of your pay and they cannot just give you paycut.

However I am not entirely sure what it means in terms of ECO.. it might be different.

Speak to someone BEFORE you speak to the director so you know what your legal rights are and so you know how to play this.

Are they still expecting you to drive for work?? I don't get how can it be job related and you are not going to insure your car for work? Do you drive for work? If you do, they must somehow repay your expense then.

Bobl

OK, this is clearer now. You will receive nothing in terms of Car or Allowance.

It now depends on the terms of your contract, as I said earlier if it is 'job related' you need to understand the criteria for assessing that; in a previous role my staff needed to do 10K miles per year business travel to justify a 'job related' car, if they fell below that it was not renewed, or could be taken away and given to someone who qualified.

Do you need a car to drive for business, or is it just for occasional business mileage which could either be done in your own car (reimbursed mileage) or a Hire Car.

You need to understand the above before challenging it.

Bobl

Any wrote: »

Yes, I would definitely call ACAS. If they have always given you car/then car allowance, then it is part of your pay and they cannot just give you paycut.

Unfortunately ANY, that is not always the case, it totally depends on the conditions attached to the provisions of a Car or Allowance, it does not always form part of your formal compensation (pay).

Any

Bobl wrote: »

Unfortunately ANY, that is not always the case, it totally depends on the conditions attached to the provisions of a Car or Allowance, it does not always form part of your formal compensation (pay).

No, I know that, but I replied to that on reading that he gets car allowance and his previous information - only later he said he thinks that he thinks it is "job related" and I edited the end.

Which I can't see how would that work. If he needs car for work, the need would have to cease or they would have to repay his business mileage in his private car.

Or he gets it as a part of his pay which is what the allowance suggested. Even if it is not part of the contract, it can be only because he got promoted without formal letter and got car with it and he could claim that it is part of his package even though not written down-as he did get it for past XY years..

There is lots of things that are still unclear. That is why I said, I would call some body that can ask the right questions. Because the OP is not clear at all.