Employers embrace retro fleet model


Comment on this article

Company car schemes similar to those from the 1970s are making a comeback thanks to the economic uncertainty.

 Company car schemes similar to those from the 1970s are making a comeback thanks to the economic uncertainty.

Research from GE Capital Solutions shows employers are starting to restrict the choice staff have over their company cars - the number of companies allowing staff to choose any car from any manufacturer has fallen by 8% in the past 12 years and the number employers who allocate cars from a single manufacturer has increased by 3.7%.

The research shows employers are putting more emphasis on fleet as a cost-driven business tool rather than a salary benefit. Employers are now more concerned about cost factors in fleets, such as fuel prices, than about HR issues surrounding company cars,

Gary Killeen, commercial leader at GE Capital Solutions, said: "The company car schemes of the 1970s saw employees given pretty much identical vehicles - it was common to see car parks outside factories and offices full of nothing but Ford Cortinas or Vauxhall Vivas."

However fleet is still described as ‘important' by 95.5% of employers.

Killeen added: "In the current climate employers are looking at company cars as a cost-effective business tool. Car choice is being restricted more often and cost factors are overtaking human resources issues."

People Who Read This Also Read...
Helen Giles

Helen Giles, executive director of HR, St Mungo’s Broadway

Helen Giles is executive director of HR for homelessness charity St Mungo’s Broadway and managing director of Real People, a social enterprise HR consultancy. She has been on the HR Most Influential list since is started and is voted on one of the HR Most Influential Practitioners of the Decade. Giles was awarded an MBE in 2008 for her services to homeless people.

Practitioners of the Decade Practitioners by sector Practitioners 2015  by HR magazine
Change the CAPTCHA codeSpeak the CAPTCHA code

All comments are moderated and may take a while to appear.