Company Car as benefit while on FMLA???

lonnied

CEO is out on FMLA and insists that his company car is a benefit that he is entitled to while on FMLA. Catch is he is incapcitated and cannot drive!!! He wants his wife to use it while he is out on FMLA. Chairman of the Board of Directors instructed Interim CEO to use company car in the execution of her duties as Interim CEO. I am confident we are right in retaining the car for the Interim CEO to use. Please advise!!!

dhnyct

FMLA basically protects an employee's job for twelve weeks and speaks to benefits such as health insurance, etc. As I understand FMLA, the CEO would be a "key employee" and can actually be excluded from the protection. Unless there is an employment contract (or he owns the business and makes the rules), business necessity wins my support for the interim CEO to use the car. I don't imagine the CEO's wife is dependent on the company car when he is working!

Reminds me of a recent local news item ...Our state government is working to clean up the misuse of "company cars" as an entitlement/status symbol. Some folks (public and private sectors) are all in favor of cost reduction methods, just as long as nothing affects any personal priviledges.

Carol CA

I would agree that the company car is supposed to be used for business. If the CEO can't drive, he can't use it for business. The Interim CEO should get it while she is performing the duties, and give it back once the CEO returns to work.

Pork

In our company or insurance for fleet and business use would not cover the wife of any one authorized a company vehicle! First thing is to check with your insurance carrier. 2nd item, we pay income taxes on personal use of company vehicles which means there are personal miles used whenever the spouse would be driving. Given there is insurance coverage, make sure there is a personal use journal kept daily for the miles driven from day 1 to day end. There are several other areas of concern that come to mind, but you should review your company policy and what has been the company's actual practice toward other employees in a similiar situation. While you may have a policy if your company has not enforced the policy with everyone then your company can not start with the CEO. Rent the interm CEO a company car for the 3 months of FMLA and let the CEO deal with the expense when he gets back. I can just see your CEO becoming stressed over this issue and having a "massive stroke or heart attack", he passes on, and the wife comes after the company for not taking care of her CEO husband while he was out on FMLA. If the owners don't want the CEO wife to drive him around in the company vehicle while on FMLA (going to this physician or that appointment)then I would make sure the problem was not deposited on the HR door step! Good luck, Pork

ritaanz

My Goodness. Would you like some thumb tacks for the black crepe you are hanging? x:p