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Chris_H, Solicitor
Category: UK Law
Satisfied Customers: 1082
Experience:  Solicitor with 10 years experience in Commercial, Property and Consumer Legal Isssues
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Morning. I am loosing my company car after 20 + years for

Resolved Question:

I am loosing my company car after 20 + years for which I pay
private milage. I use my car every day for the purpose of my work. Is there a recognised value to which my sallary shoud be increased to compensate for the fact. my work duties will remain unchanged.


Submitted: 7 years ago.
Category: UK Law
Expert:  Chris_H replied 7 years ago.
Why is it being withdrawn? What does your contract say about entitlement to a company car?
Customer: replied 7 years ago.

my car is being withdrawn because they have purchased/leased 3 new vans which are not elidgable for private use. my contract states that a company car is part of my package. They have offer a £1500 increase in salary in lue of loss of private use. To me this is no compensation for loss of car. No prior consultations were made with myself prior to being expected to sign a new contract.

Also condition of use use vehicle driving to site (not office) want to be changed.

at the moment all the cost of deisel are covered from home to site, which can vary every day, whether the site is closer to the office than my home. New terms will be that if my jurney to site is futher than office to site I have to pay tha extra distance at 14 pence a mile. Meaning I could be liable to pay my company a maximum of £10.40 a day

to drive to site, if the site were very close to the office.

When working at the office I have always paid to go there so that is not a problem.

As far as the tax man is concerned the benefit in kind to me is £3,700.

to me that is what I would expext as a salary increase to compenaste for loss of company car.





Expert:  Chris_H replied 7 years ago.
Well they are trying to change your contract and they cannot do that without your agreement. That said, if they ask you to agree changes to your contract terms and you refuse then they can be entitled to dismiss you if they have legitimate business reasons for requiring the change (including that they cannot afford the old regime any more).

I would be inclined to log a grievance under your company's grievance procedure and tell them that in the meantime you are not prepared to agree to the change. Then see what happens next.

If they threaten to dismiss you if you do not agree to the change then you will have to consider how far you are prepared to try to push this though.

I hope this helps in which case please Accept. For further information please just ask.
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