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What are the effects on company car fleets after Covid?

Fleets expect flexibility

Due to lockdowns, many companies had leases for unused cars and employees returned keys to avoid taxes on something they couldn’t drive. Simon Down, Associate Director at Deloitte, says this has given operators the chance to rethink vehicle financing, with a greater appetite for short-term, flexible solutions and smaller fleets.

“In the past two years, the number of companies introducing and operating wage cuts for electric vehicles has increased significantly. This can give employees a new benefit that allows them to access a BEV at a lower cost than private customers, ”he says.

“Introducing a new benefit like this one can give HR teams the opportunity to provide a new and appealing benefit offering [with] the bonus of contributing to broader carbon reduction initiatives and helping companies achieve their net zero ambitions. ”

Tony Greenidge, CEO of IAM Roadsmart, is concerned that some of this flexibility has been used by people using their own to work, and that this is having an impact on the operators as well. He says, “Not all companies understand that their duty of care extends to all employees who drive on behalf of the company, regardless of who owns or manages the vehicle.”

Some workloads have increased

Not all business travel has decreased. Greenidge adds that Department of Transportation statistics show van traffic increasing 10% on weekdays and 25% on weekends as consumers get used to home deliveries. The burnout potential cannot go unchecked.

“Drivers working in these sectors will be under tremendous pressure, especially during the main holiday season, and managers need to be aware that the stress and fatigue that this creates can have a huge impact on driver wellbeing,” he continues.

“Managers need to recognize these factors and ensure that drivers’ working hours and workload are reasonable, allow adequate breaks, and do not put undue pressure on drivers to do additional work or be available outside of opening hours.”

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