News analysis
A small problem
Smaller fleets are seeing increased mileage, but lack duty of care knowledge, Alphabet has found. Sean Keywood reports.
of business miles being covered by their drivers, according to research by leasing company Alphabet GB.
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It found that 78% of managers of fleets with fewer than 50 vehicles had noticed increased mileage, attributed to factors including travel disruption and rail strikes increasing interest in car use.
In addition, 63% of managers said they had seen an increase in the number of employees using their private cars for business, and 66% had seen an increase in employees opting into company car schemes, while a further 67% said demand for salary sacrifice car schemes had risen.
However, 59% said a lack of understanding regarding their duty of care requirements was impacting the running of their fleets. Alphabet warned this could result in businesses failing to take appropriate action to safeguard their
ore than three-quarters of managers responsible for smaller fleets have noticed an increase in the amount
drivers and members of the public, which could lead to significant legal, financial, and reputational consequences. Alphabet GB corporate and SME manager Carol Burgess said: “If a company requires its employees to use vehicles for business purposes, even if this is simply driving to an offsite meeting in their own private car, duty of care obligations must be prioritised and met.
the benefit of a dedicated, full-time fleet manager.
“The good news is that support is available. Leasing providers can ease the burden by taking care of things like regular driving licence and documentation checks, risk assessments, and training.” Burgess explained that all companies were required to manage health and safety in the workplace and make sure
“A robust and proactive driver risk management strategy is key.”
“It doesn’t matter if a company has hundreds of employees or a handful, managers need to carefully consider how duty of care affects their fleet and take necessary steps to manage the risks associated with occupational driving. “Staying on top of these responsibilities can feel like a big undertaking, particularly for smaller fleets that don’t usually have
policies and safeguards were in place to minimise risk.
She said: “When vehicles are used for business, they are considered places of work. Consequently, employers are responsible for ensuring they are fit for purpose and properly maintained, taxed, and MOT’d.
“They also need to check that employees
have business-use insurance cover; hold a valid licence for the category of vehicle being driven; and receive appropriate training.
“A robust and proactive driver risk management strategy is key to helping fleet managers identify and mitigate potential risks.”
Alphabet has warned that grey fleet could be a particular area of concern, citing research by Nationwide Building Society which found that 49% of vehicle owners were putting off essential repairs to save money, and more than one in three were worried their vehicle may break down due to poor maintenance. Alphabet warned that if grey fleet vehicles were not properly maintained, businesses could be held responsible for any accidents or damages that occurred when employees were driving for work. It said it was therefore imperative that fleet managers were aware of the implications private vehicle use had on their business, with good record-keeping and regular checks needed.
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theAA.com/business 8 | June 2023 |
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