According to a new WorldatWork research report, 89 percent of employers still offer vehicle-related benefits to employees, with the most popular vehicle benefit being fuel or mileage reimbursement at 72 percent, car allowance at 65 percent and providing a company-owned automobile at 53 percent.

Despite spiking fuel prices, the impact of rising prices on an employer's vehicle-related benefits program is much less in 2011 than in 2008 when the survey was first administered. In fact, only 13 percent of companies are considering or implementing changes to scale back on the programs, compared to 2008 when 78 percent of companies were doing so.

The survey also finds that 89 percent of respondents offer a car allowance, company car or other vehicle benefit to at least some employees. Most employees who are eligible for a car allowance company car are executives and sales personnel, which is similar to the 2008 results, but 29 percent of companies also provide a vehicle to any employee who needs one for business purposes. Seventy-six percent of employers also offer mileage or fuel reimbursement to any employee who is traveling for business reasons.

Of employers that canceled their vehicle benefit programs in the last three years, cost was the major factor in both 2008 and 2011, and only a few companies experienced negative attitudes when vehicle benefits were offered strictly to executives.

Survey respondents are employed in their companies’ HR, compensation and benefits departments. Most respondents are employed at large U.S. corporations, where 74 percent are from private sector, and 27 percent are from the public sector or nonprofit organizations.

Instant Insights /

Most employers still offer vehicle-related benefits

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