Redundancy - Car allowance question
Discussion
Hi All
my friend has had a terrible year culminating in losing her father than being told she is to lose her job the day after the funeral, these things happen.
She is in a position where she had a company car allowance but this was not a discretionary bonus, she was required to have a car of a certain age, spec, emissions and this was primarily used for business use. She only recently had to change the car and is 5 months into her new arrangement but now is losing her job, the question is - is there any liablity on the company to assist here?
In the past I have had car allowances as a perk but that was my own risk to take on, here it is used as a requirement in place of a company car (offset risk from the business).
Is there any glimmer for hope? She doesn't need the car other than for work and if in a position where a car wasn't required for the role she'd have just had a small car to get from home to office.
Cheers
my friend has had a terrible year culminating in losing her father than being told she is to lose her job the day after the funeral, these things happen.
She is in a position where she had a company car allowance but this was not a discretionary bonus, she was required to have a car of a certain age, spec, emissions and this was primarily used for business use. She only recently had to change the car and is 5 months into her new arrangement but now is losing her job, the question is - is there any liablity on the company to assist here?
In the past I have had car allowances as a perk but that was my own risk to take on, here it is used as a requirement in place of a company car (offset risk from the business).
Is there any glimmer for hope? She doesn't need the car other than for work and if in a position where a car wasn't required for the role she'd have just had a small car to get from home to office.
Cheers
JPJPJP said:
Has the company already stated it's (initial) position in respect of how the car allowance will be treated under the redundancy situation?
She won't get many better offers of initial assistance than the one from Breadvan above
She is having the initial consultation this morning and then travelling to Manchester. Having been through similar rounds myself, the car allowance was not part of the consideration as it was a discretionary benefit (though some arrangement was made). Here, the difference is the stipulation of age, model, size, emissions and was used primary for business to cover site management. Mine was just the typical here's some extra cash in your pocket but it isn't part of the overall package regarding pension, redundancy, NI contributions type tax dodge. She won't get many better offers of initial assistance than the one from Breadvan above
I bet there is no relivant clause , and the “rules” on what or even her needing a car were verbal or just implied. I’ve been in a similar position , ended up with
“Who told you that”
You did
“Can’t remember that”
Well you did and everyone else has been told it too.
“Must be a misunderstanding, what does it say in your contract?”
Ok I see, thanks a lot
“Who told you that”
You did
“Can’t remember that”
Well you did and everyone else has been told it too.
“Must be a misunderstanding, what does it say in your contract?”
Ok I see, thanks a lot
matjk said:
I bet there is no relivant clause , and the “rules” on what or even her needing a car were verbal or just implied. I’ve been in a similar position , ended up with
“Who told you that”
You did
“Can’t remember that”
Well you did and everyone else has been told it too.
“Must be a misunderstanding, what does it say in your contract?”
Ok I see, thanks a lot
What this guy said. A while after I started at one place they published a new "Car Allowance Policy" telling people what they could and couldn't have, then told me when I turned up in something outside of that policy that they wouldn't be paying me my car allowance.“Who told you that”
You did
“Can’t remember that”
Well you did and everyone else has been told it too.
“Must be a misunderstanding, what does it say in your contract?”
Ok I see, thanks a lot
I referred them to the contract that myself and the MD signed that didn't stipulate any policies around car allowance. They instructed me to sign a new contract, referencing the policy. I informed them that they would be making consideration for the fact that my vehicle was new to me, so my next vehicle would be in line with their car allowance policy when the current one is replaced. This was then incorporated into my new contract that I did then sign, and when my car was changed years down the road, it was in line with their policy.
The point to all of this is that unless it's in your contract, or a policy referenced in your contract, it's probably just some do-gooder middle-management type "trying to set a good impression" outside of their remit and without the appropriate support in place. These types you have to be careful of, as it's very easy to listen to someone say "oh, it's got to be less than five years old, have five doors and in a neutral colour" and then act on it without realising you're being pushed to do something you don't have to do - and frequently at significant expense.
Breadvan72 said:
George Smiley said:
Breadvan just received all contracts for last 6 years ...
Sending and receiving are not the same thing.George Smiley said:
Breadvan, just received all contracts for last 6 years ...
Breadvan72 said:
ahh, good, if you dig out the revelant clause and send it over, I'll have a look
Not sure if relevant but my experience last year when I was under threat was the car allowance was given as a 3 month payment and increased to cover and tax and ni payments (3 months notice) likewise health care and fuel benefit all rounded up.
Edited by jonwm on Wednesday 28th November 09:15
WonkeyDonkey said:
George Smiley said:
Breadvan, I just received all contracts for last 6 years, it mentions car allowance but not the applicable rules.
As soon as the car policy is here will let you know.
Thankyou
Edited for what I presume the OP actually meant.As soon as the car policy is here will let you know.
Thankyou
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