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barongreenback
Beginner September 2004

Work advice - taking back a perk (parking)

barongreenback, 5 April, 2009 at 18:21 Posted on Off Topic Posts 0 27

Evening all - may as well post my first bit of advice needed ?

Anyway, turns out one of my offices have been enjoying a perk of claiming back their office parking on expenses (these are people who are usually out in the field, are able to work from home although are officially attached to an office). Expenses are under review at the moment and as far as I'm aware, it could count as a taxable benefit. So I have to make myself immediately unpopular and tell them that they can't claim it any more. Tough as it's a tenner for a full day. Even tougher as one of the perks of my job is a paid for annual space in the same car park. Any advice on how to handle this?

27 replies

Latest activity by spinster chick, 6 April, 2009 at 12:26
  • Pink Han-bag
    Beginner March 2013
    Pink Han-bag ·
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    Tell them then run and hide? ?

    erm no advice sorry just to say I don't envy you but perhaps a good way to start off, they know who's boss etc? oh and maybe not point out to them which is your car ?

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  • AnnaBanana
    Beginner July 2007
    AnnaBanana ·
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    WPHS!!

    is there anything you can do such as arranging a beneficial rate at a nearby car park or something? I dont know where you're based so could be a ridiculous suggestion ? but I used to work in a city cenre and the office had no parking, but we got a discounted rate at a nearby pay and display.

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  • barongreenback
    Beginner September 2004
    barongreenback ·
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    They park there for convenience and there are other places to park. It just seems a bit rich of me to suggest that when work are covering the £3k annual cost of my space ?. I'm sure their reaction will be to not come in the office as often but I want them there at least a day or two a week as remote managing people is hard enough as it is.

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    Popcorn1 ·
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    I had a parking space at my last job which was a perk of the grade I was at. As I recall, it wasn't a taxable benefit since I didn't have a specifc space allocated to me and it was in a car park that paying members of the public could use too. If I'd have turned up and the car park was full, then I wouldn't have been able to park. It never happened though- the parking stewards were very wily at getting cars in.

    I can't give you any advice re. your colleagues though. I'd have been furious to have been told to give up my space once I had it since it would have effectively amounted to a pay cut, but there again in an environment like this I wouldn't have kicked up a fuss as I'd have been grateful to have a job. Tricky one for you I think- it's a decision that is bound to cause resentment.

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  • D
    Dopper2 ·
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    My understanding is that it would be a taxable benefit (but no expert in the area). Can you offer them the option to claim the expense and pay the tax? If so, presumably payroll/HR can send this message and give them the option. If you need to cut the expense out I'd still lean towards getting a message sent out from whichever department does the expenses - particulary if people are now going to have to pay back-tax. I'd include an offer to upgrade the home working facilities (IT upgrades etc) for anyone who needs it in the same message about the parking expenses, to show willing. There is no way around the fact that it will really grate if you send the email out, given that you still get the benefit and you don't yet have any goodwill built up as you've just started.

    Presumably you are being taxed on the parking benefit? If not, you may be setting yourself up for a disgruntled employee to make a complaint to HR or the tax office.

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    Popcorn1 ·
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    Sorry just realised you have outlined a different scenario to the one I set out. At the firm I was at, we could claim parking expenses at an office we visited to work at, which was not our base office, but not at our base office itself. Same as we could claim mileage or other travel expenses to the other office but not to our designated place of work. Do your colleagues have a base office or is their place of work designated as their home? Do you have another office that is easily commutable for your staff? If you want to see them in person perhaps you could meet at the "other" office and then they could claim their parking and other expenses legitimately? If this is not feasible, then it seems to me they'll have to swallow the parking expenses on the basis that they probably shouldn't have been claiming them before.

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  • barongreenback
    Beginner September 2004
    barongreenback ·
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    No, this is their base office. They claim in the same way that I wouldn't claim mileage to this particular office as I've designated it as my base office. It's mainly an expenses issue (the tax is a bit of a red herring). No other office (including the others under my remit) claim parking expenses. My old boss was a bit of a soft touch on this and wasn't good at confrontation. Likewise his boss tended to turn a blind eye. Totally new management structure and my boss is new to the department so he is keeping a close eye on everything.

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  • AnnaBanana
    Beginner July 2007
    AnnaBanana ·
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    Is there a company-wide cost cutting exercise which you could refer to and say its part of that? its a little wimp-ish but if there is legitimate cost cutting going on (like there is in many other places) then this is just part of it. surely they will know its not a fascist decision you've taken just to annoy them!

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  • barongreenback
    Beginner September 2004
    barongreenback ·
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    Anna - I thought of that but that could backfire in that they see me as the wimpy manager who is the directors' bitch. There are situations where they need to see me as the guy who will back them up on some very tough decisions. Hence I don't really want to set a precedent.

    Fark me, this management lark isn't all it's cracked up to be ?

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  • AnnaBanana
    Beginner July 2007
    AnnaBanana ·
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    Ive just had an idea - could you encourage car sharing and keep say 3 out of 10 car parks? work encourages car sharing and it seems to be working.

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  • barongreenback
    Beginner September 2004
    barongreenback ·
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    They all live in different areas and the issue is that we do not compensate staff for the cost of parking at the office. Unfortunately there is no compromise to be had on this one as they are the only staff in the company that do this.

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  • Pink Han-bag
    Beginner March 2013
    Pink Han-bag ·
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    Oh dear ? my mum's a manager of quite a lot of staff and the stuff she tells me really puts me off management.

    would it be worth someone higher up/HR issuing a notice that claiming expenses in the way they are isn't acceptable? after all it isn't actually your decision is it?

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  • barongreenback
    Beginner September 2004
    barongreenback ·
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    I'm hoping HR have a policy note on this. The previous boss is now a director hence I can't really draw attention to the fact that he was a cock end for allowing it in the first place, plus there aren't really many people higher up than me (oooh, get me ?) so I have to show leadership on this one. I have a reputation in the company for being rather blunt and I'd like to avoid being overly so on this occasion as money is always a sensitive subject and we didn't get pay rises this year.

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  • feathers
    Beginner January 2007
    feathers ·
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    What is your expense policy? Did the person have anything put into their contract to say that they could claim expenses to their office? If they are officially home based they would be able to claim (as per tax rules). If they are officially based in the office then they cannot officially claim. I would send out the expense policy to all staff as a reminder with an accompanying note saying there is a crack down on its way.

    Good luck.

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  • WifeyLind
    Beginner April 2006
    WifeyLind ·
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    The only way that I can think of this being handled without your being seen as the bad cop but without wimping is by sending out a general reminder about expenses policies to all your departments. (It might be best to get HR to do this as a whole) That way, you aren't singling out one particular office and you are just reminding them that in this kind of climate they should take care with their expenses, etc etc.

    Then, next time an expense claim comes across your desk from this office where someone tries to claim back the parking you can pick them up on it, as a manager who is following through on policy and not picking on them. IYSWIM. This could also apply to any other member of your staff so not just those within this office.

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    Popcorn1 ·
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    If I were you, I'd point out that they can no longer claim the parking expenses because it has become apparent that a, no other offices are allowed to and it would be inequitable for them to be allowed to continue and b, there is a tax implication for them claiming parking expenses. If you're sympathetic to the fact that it will hit them in the pocket but emphasise you'll not be able to sign off future expense claims for the above reasons, then I think that's all you can do.

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  • Smiley
    Beginner
    Smiley ·
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    Are you somewhere that is good for public transport? Go from an environmental viewpoint?

    I I guess your problem is that they will have seen it as a benefit of the job, but normally, apart from management in most places you pay for your transport there and back, including parking if you decide to drive. Unless they are sales and need to come back to the office for short times scales and park closely.

    Failing all that, I think you just need to come out with it as it is. There is no point lying, if that isnt the sort of manager you want to be. You say you are usually blunt about things, maybe worth doing that with this as well. Company needs to make savings, this will help saving for the company.

    Or, that it is out of line with the rest of the company, and in the current environment all offices need to be seen as being treated the same?

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  • NickJ
    Beginner
    NickJ ·
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    Ok, the fact you have a paid for space is irrelevant, dont bring that into it. they may/do know, but thats not your issue. just tell them straight, dont try to be their friend. its not your choice after all (but dont say that, you ll appear weak). just say that expenses have been reviewed and one of the cuts being made is no more paid parking. yes they ll be pissed off, but lets face it, they have a job. dont overanalyse this.

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  • Roobarb
    Beginner January 2007
    Roobarb ·
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    Basically what Nick said. Yes they will no doubt moan but in the current climate where people are having to take pay cuts/4 day weeks/redundancies it's hardly the end of the world. If they don't like it they can leave, and they're unlikely to do that I'd wager atm. I'd just issue a memo, saying it's been reviewed and due to the current econ. climate the co. can no longer support the paid for parking space, and that as of xxxx date they will no longer be entitled to it. I also agree that whether you have a paid for space or not is irrelevant, after all it is very common for management to have additional perks to regular staf.

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  • M
    Beginner
    Mrs JMP ·
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    Is this the London base?

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  • hazel
    VIP July 2007
    hazel ·
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    If they're claiming against company policy it would be a gross disciplinary offence in most places, so if I were them I think I'd feel lucky not to be suspended. Just tell them straight that policy has changed and don't try to second guess the complaints as you might not get any.

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  • KJX
    Beginner August 2005
    KJX ·
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    Tell them how it is for the expenses, and raffle your parking space for Friday every week (in calendar month) lots for the team?

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  • NickJ
    Beginner
    NickJ ·
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    i definitely would not advise that.

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  • Baby Buns
    Beginner September 2007
    Baby Buns ·
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    It's a 'pulling in line' exercise with all other branches. As someone (?Popcorn) said earlier, it's inequitable to allow them to continue claiming when other branches don't. There have been management changes and as a result all systems are under review and this is one of the things that has been highlighted.

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  • Smint
    Beginner June 2007
    Smint ·
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    I'm in kind of a similar situation in that I'm project managing an office move and restructure. Unfortunately, the move has unearthed a complete can of worms when it's come to allowances

    Some people have been paid a Recruitment and Retention Allowance (RRA) and some haven't, even though they started at the same time. This meant that the ones who aren't getting it have claimed for backpay which one area of the organisation (wrongly) has said they can, but another part says that no one should have been getting it since June 2006 when it was reviewed (but no one told us!)

    I've just been very straight with people. Those who are getting it are getting a month's notice that it will cease, and those who aren't will get nothing as no one should have had it. They didn't like it, but I've kept everyone informed of the discussions with HR and shared the decisions that have been made. Even the Unions have had to agree that that's all we could do

    If the rules are that they're not entitled to claim car park expenses, then they should be told this. It's not like you're taking away something that was legitimately theirs. As far as I am aware, there is no entitlement to free car parking unless you need a disabled space. They won't like it, I'm sure, but sometimes you have to make tough decisions and pass on bad news - and you may have to state the rules many many times before it sinks in it's non-negotiable

    Good luck!

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    poochanna ·
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    Well as you've said above, it's a perk, so it's not something they are actually entitled to, it's just been a bonus that it's slipped under the net so far.

    Do they "have" to work in the office, are there days that they have to be there? Like you say, they may well be more inclined to work from home so you'd need to address that carefully.

    They will be p'd off but I'd just be totally upfront and say that it was a perk, not guaranteed and looking at cost cutting it needs to be cut, sorry guys! The fact you have a space is neither here nor there. My old boss used to get a paid for space as did other senior people, staff didn't. That's just life and let's face it, they don't have to agonise over how to tell people they haven't got a space so it's not all good at the top ?

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    spinster chick ·
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    I manage a car park and have done a deal with a local office that I give them half price parking you could try that and even if they say no you can at least look like you have tried.

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