Motor Vehicle Policy and Your Employee Risks

It is becoming more common for employers to require employees to use their personnel motor vehicles for business use. Reimbursement for business use is commonly by way of a kilometre/mileage allowance or a general motor vehicle allowance for the year.

Did you know that you can be found vicariously liable for the acts and omissions of your employees driving while driving a motor vehicle for work related business?

Even an innocuous journey to pick up the daily mail can be fraught with risk!

I this day and age employees cannot always be relied upon to exercise discretion and common sense. It is therefore important that you take some human resource risk strategies to ensure that any risk is mitigated or at least as much as possible.

Normally a business motor vehicle policy should set the boundaries of employee use such as;

? Is the employee required to use their personal motor vehicle, when and under what circumstances,

? Does the employee have comprehensive and replacement insurance for their and any third party damage,

? How is the employee to be reimbursed,

? Is the reimbursement subject to state or federal taxes,

? Does the employee warrant that they hold a valid drivers license for driving a motor vehicle,

? What is your company policy for an employees' loss of drivers' license. This may be due to potential substance abuse, driving under the influence of alcohol or another offence.

? Does the employee loosing their license mean termination of employment as driving the motor vehicle is part of their tools of trade?

? Is the employee required to advise you of any license restriction and demerit points accrued?

? Do you have a company policy that states that no parking fine, infringement, traffic violation or any other impost federal, state or local will be paid by the company?

By taking time to develop key human resource policies and procedures and by inducting and training your employees you can reduce the potential business and financial risk to your company.

For more helpful articles visit www.biz-momentum.com Subscribe to our free monthly newsletter and receive a free template job description or employee performance review.

Philip Lye is the Director of Biz Momentum providing strategic human resource management to help your business grow. Philip is also a qualified accountant. Biz Momentum assist small to medium businesses. Visit http://www.biz-momentum.com for other helpful articles and to subscribe to Biz Momentum's free monthly newsletter and receive a free Employee Performance Appraisal.

---

Does My Bum Look Big in This?

If a good manager asks his workforce for their opinion... Read More

Medical Malpractice: Three Myths That Cost Your Hospital Millions

What's the use?Nothing you do will hold down the cost... Read More

Creativity and Innovation Management: The Creative State

Creativity can be defined as problem identification and idea generation... Read More

The Top Six Reasons to Buy Rather Than Build an Inventory Management Solution

Is building your own inventory management solution really your best... Read More

What Every Manager Should Know About How to Maximize the Two People Inside

Every one of us, in reality, has two people inside:... Read More

Score the Rainbows Pot of Gold: Become the Boss That No One Wants to Leave

Leadership is lifting a person's vision to higher sights, the... Read More

Look Good on Voice Mail

Your use of voice mail tells others a lot about... Read More

Communicating In Chaotic Environments

How do you, or would you, communicate in a chaotic... Read More

Big Company Intelligence on a Small Company Budget

Information is the lifeblood of the economy. That's especially true... Read More

Forecasting Support Costs

Did you know that maintenance accounts for 50% to 80%... Read More

Muggers in Our Midst - When Rumour and Gossip Pay You a Visit

'I heard it on the grapevine' the old song goes.... Read More

Qualities of a Great Manager

In the call center environment we are often only as... Read More

Giving a Good Appraisal Interview

Although this performance discussion is an opportunity for you to... Read More

How to Hire the Right People

One of the biggest challenges any business owner or manager... Read More

Well-Defined Processes ? How to Create

Interested in learning how to reduce development time, save money... Read More

The Ten Keys to Maximizing Employee Performance

1. Let people know what you expect. If people know... Read More

Change or Die! To Change Your Organization, Hire a Business Coach

It is a common business axiom ? change or die.... Read More

Dialogue: the Four Dialogic Principles For Successful Communication

"But you don't understand!" exclaimed the manager, "this new initiative... Read More

How To Jump Start Your Profits and Keep Your Profits Rolling

There are so many ways to jump start your prifits... Read More

The ?Better People? Fallacy

It's easy enough to convince your own staff that better... Read More

Dont Get Side-Tracked By The Nay-Sayers

You, the Entrepreneur, are 'normally' a type-A individual. One who... Read More

How to Approach Group Decision Making

GROUP DECISION MAKING -- IDENTIFY THE PROBLEM: Tell specifically what... Read More

Experiences of Management Coaching (Part 2)

In our experience, we have found that there are several... Read More

The Measurement of Manager Training

THE MEASUREMENT OF TRAINING: Evaluation is one of the most... Read More

Managing Meetings

Plan/prepare - lack of purpose causes aimless meetings. Know why... Read More

Better Manager Skills - How to Learn

When you first take over a department, expectations are usually... Read More

Creativity and Innovation Management: Incubation and Insight

Creativity can be defined as problem identification and idea generation... Read More

Knowing versus Doing - Execution In The Workplace

Have you ever worked with someone who always seemed to... Read More

Give Yourself a Boss Day Gift, Part 2: Are You the Position or the Person?

Are you the position or the person?Bosses can lose their... Read More

6 Simple Steps to Dealing with Difficult Managers

The challenge of managing difficult managers can be rather daunting,... Read More

How to Attract and Retain the Right People

If you're one of the many executives struggling with finding... Read More

Why Good Enough... Isnt

About a year ago, I had an opportunity to have... Read More

25 Great Ways to Find the Right People and Not Break the Bank

Are you trying to hire dozens of hourly workers or... Read More