Mobility Blog

Making corporate mobility individual with Employee Car Schemes

Making corporate mobility individual with Employee Car Schemes

Our commitment to providing tailored mobility solutions for every customer is shown with our Employee Car Schemes offering, which offers mobility means adapted to regional and country-level taxation and legislation, and to each employee’s situation. These corporate mobility schemes enable employees, especially those generally ineligible for company cars, to access readily available value-added mobility solutions and with near-zero involvement from the employer. Paul-Antoine Stirn, B2B2E Development Manager, and Alix Truyens, Senior Consultant for Business Intelligence & Consultancy, touch upon the benefits of employee car schemes for both companies and employees, highlighting our end-to-end customer support, from the designing the approach to implementing the solution.

 

How do Employee Car Schemes work?

Paul-Antoine: The idea behind employee car schemes came from our objective of offering tailored solutions for every user profile. At the corporate level, employees often have access to company cars, but those ineligible to this offer or who would prefer another transport mode lack an alternative.

The employee car schemes fill this gap, as they provide a mobility solution for all employees, through 3 types of offers: private lease, salary sacrifice and cash allowance. For private lease, the employee receives a vehicle through a direct contract with ALD Automotive. Salary sacrifice, or “cafeteria plan” in Belgium, involves a contract with the company, through which a part of the employee’s salary is deducted monthly to pay for their mobility solution. Finally, through cash allowance, employee car schemes consist of a monthly budget provided to employees by their company.

Alix: A major selling point of employee car schemes is that they require minimal involvement from the employer. The plug-and-play aspect of these solutions means that companies can trust ALD Automotive to supply their employees with a custom-fit solution, without having to interfere.

Paul-Antoine: The variety of options within an employee car scheme is also crucial, as we provide companies with access to a plethora of vehicles from well-known manufacturers and brands, at competitive prices. Our used car lease offering supplies high-quality vehicles at discounted prices, notably facilitating access to electric vehicles. And that’s not all – the name “employee car schemes” is somewhat misleading other mobility options, such as e-bikes, can be included.

 

Why is it important to provide tailored mobility solutions?

Alix: Providing other corporate mobility options in addition to the traditional benefit car is only one piece of the puzzle. The real challenge is to identify regional and local specificities, as well as company-level and individual needs and preferences, and to determine the right solutions accordingly. Legislation and tax regulations often vary from one country to another, so it is crucial to align the employee car scheme with these dimensions to ensure the relevance and success of the scheme. For instance, the conditions in Belgium, United Kingdom, Sweden, or Germany are very favorable for salary sacrifice, while other countries’ regulations do not allow this option for employees.

Paul-Antoine: Indeed, the importance of identifying the right solution lies not only at country and company level, but also at the individual level. By extending the benefits of a company car to all employees, employee car schemes provide companies and their employees with solutions better adapted to their needs, and often more sustainable, thereby facilitating employee retention, boosting employee productivity and enhancing employer attractivity.

 

How does ALD Automotive determine and implement the relevant solution?

Alix: We are committed to optimizing our customer journey and operational efficiency, which entails analyzing and determining the right solution for every company and employee. Through our five-step consultancy methodology, we accompany our client companies from A to Z to integrate employee car schemes into their mobility policy.

During the first step, we use market analysis and benchmarking alongside our expertise on local tax regulations to enables us to identify potential mobility options. We then work with HR managers for the next steps (employee profiling, Green Scorecards (CO2 output calculations) and mobility policy optimization) to determine the company’s needs, and select the preferred solutions accordingly. Our privileged relationship with manufacturers allows us to give access to a wide range of makes and models, which we help our customers choose from.

Finally, the fifth step – implementation and follow-up – provides automatized tools such as web portals which can integrate with a company’s intranet, enabling companies to supply employees with their preferred mobility solution, with near-zero involvement.

Paul-Antoine: Our employee car schemes offerings allow us to determine and put in place the solution best adapted to every situation. By providing mobility means tailored to every employee, in such a seamless and efficient way, we honor our commitment to flexible and individual mobility. We are already supplying employee car schemes to companies all across Europe, as well as India.

 

Learn more about Employee Car Schemes by reading the article here.