HR Chat: Rental Vehicle Damage

Some of your employees occasionally travel for business purposes. When necessary, a rental vehicle is provided for use during such trips. On a recent trip, an employee returned a rental car with damage, and the rental company issued a charge for the repairs. Since the company covers the cost of rental vehicles, is it permissible to require the employee responsible for the damage to reimburse the company or have the repair costs deducted from their paycheck?

Having a well-drafted employee travel policy in place can help protect your business in situations like this. Our attorneys can assist in creating a tailored policy for your company and provide guidance before you take any action, such as making paycheck deductions.