Cheshire East Council Car Allowances

Background

Unison Branch MeetingCouncil Chamber, Crewe

Wednesday 13th August 2014

Initial Consultation Car Allowances started consultation with the Joint Trade Unions on 22nd

September 2010. Cheshire East Council stated that they had a number of requirements for an affordable single set of harmonised terms and conditions.

Cheshire East Council requested a further meeting with Regional Trade Union Officials on 18th July 2014 to reopen Car Allowances discussion

Removal of regular and occasional user status. Introduction of flat mileage rate of 45p per mile up to 10,000 miles and 25p

per mile above 10,000 miles.

Impact = 221 Regular Users & 3,089 Occasional Users Current Cost of Mileage = £ 1,851,901 Potential Savings (Flat Rate 45p) = £ 181,820, (NJC 46.9p) = £ 111,317

National NJC Green Book Part 2 Key National Provisions

12.1 Where an employing authority authorises an employee to use a private car on official business, the employee will receive an allowance in accordance with the provision set out in Part 3 Section 6.

Details of the current mileage agreement

http://www.lge.gov.uk/lge/dio/6617302

National NJC Green Book Part 3 Key National Provisions

6.1 Employees required to use their motor vehicles for the efficient performance of their duties will receive allowances for the use of their motor vehicles on business only after being so authorised by the local authority. The local authority may determine whether the use is casual or essential and the cubic capacity of car considered appropriate.

6.2 Essential users are those whose duties are of such a nature that it is essential for them to have a motor car at their disposal whenever required. If the employee uses a private car in carrying out those official duties then they shall be entitled to receive the lump sum allowance and mileage rates set out below.

6.3 Where a car is not in use as a result of either a mechanical defect or the absence of the employee through illness;

(i) The lump sum payments should be paid for the remainder of the month in which the car first went out of use, and for a further three months thereafter. For the following three months, payment should be made at the rate of 50% of the lump sum payment.

(ii) During the period when a car is off the road for repairs, reimbursement in respect of travel by other forms of transport should be made by the employing authority.

National NJC Green Book Part 3 Key National Provisions

6.4 Casual users are those for whom it is desirable that a car should be available when required. The mileage rates are set out below.

6.5 Local authorities should not make it a condition of employment that employees graded below point 13 should provide motor cars for official use.

6.6 An authorised car user may apply to the authority for financial assistance to purchase a car.

6.7 The allowances are contained on the card inside the back cover and will be reviewed by the NJC each year to take effect from 1 April or during the year as necessary.

Car Mileage Allowances

Original Car Mileage Proposal

Removal of the NJC Car Mileage Agreement for all Cheshire East employees

Introduction of flat mileage rate of 45p per mile up to 10,000 miles and 25p per mile above 10,000 miles.

Revised Car Mileage Proposal

All Car Mileage to be paid in line with National Joint Council Agreement

Essential / Regular Lump Sum Rate will be applied up to NJC Level 2 – up to £ 963 depending on vehicle size

Essential / Regular Mileage Rate applied up to NJC Level 2 – up to 40.9p per mile (depending on engine size)

Casual Car Mileage Rate applied at NJC Level 1 – currently paid up to 52.2p per mile, but this is to be reduced to a 46.9p and 13.7p above 8,500 miles per year

Revised Car Mileage Rates

451 – 999cc 1000 – 1199cc 1200 – 1450cc

Essential Users

Lump sum per annum £846  £963 £1,239 Per mile first 8,50 36.9p 40.9p 50.5p Per mile after 8,500 13.7p 14.4p 16.4p

Casual Users

Per mile first 8,500 46.9p 52.2p 65.0p Per mile after 8,500 13.7p 14.4p 16.4p

Can I raise a Grievance against Cheshire East Council Decision to reduce the

NJC mileage rate?

It is unlikely that a Grievance can be raised against the Council’s decision to offer a reduced NJC car mileage rate, as this clearly falls within Part 3 Local Conditions of the Green Book, and is open to local negotiation

Can I refuse to use my car for work purposes

UNISON is clear on this point.

Whilst you may not be contractually obliged to provide “a vehicle for work”, you ARE contractually obliged to undertake the duties for which you are employed.

As such, if you refused consistently to provide a vehicle for work the employer may consider that a breach of contract and look to performance or disciplinary procedures to resolve the issue.

UNISON is therefore advising members NOT to withdraw their vehicle completely from work use, but those deemed now to be CASUAL users, it is ONLY DESIREABLE that they have their car available at all times. Therefore these users can now control, when it is available to them and reschedule visits for times when their car is available.

Whilst we will support any member (or group of members) who wish to pursue a legitimate grievance on this matter through the appropriate channels, we would not advocate or support any pseudo-industrial action.

Closing Comments

Cheshire East Council original proposal was a payment of 45p for ALL car mileage users.

Cheshire East Council revised offer protects Essential / Regular Users and will continue to pay them - NJC Level 2 payments

Cheshire East Council will pay Casual Users - NJC Level 1 payment of 46.9p for the first 8,500 miles per year, and 13.7p for miles over and above 8.500+

Cheshire East are going to carry out an ONLINE indicative ballot (https://www.surveymonkey.com/s/73Z9Y5Q) - or you can phone 01244 346894 with your indication (you will need your membership number).