CHESHIRE East Council saved more than £ 920,000 on mileage allowance claims in fiscal 2020/21 due to the pandemic.
Figures released by the Council in a report to the Corporate Policy Committee show that the kilometers claimed by employees in the 2020 calendar year decreased by 41% compared to 2019, with over 1.2 million kilometers less traveled.
The report adds, “Actual mileage payments to regular and occasional users across the community were 53% lower in 2020/21 compared to 2019/20.
The council is now examining how it can proceed to reduce the need for travel and thus lower costs and also contribute to its goal of being climate neutral by 2025.
The report on employee efficiency review and terms and conditions states: “The pandemic has changed the way our employees work.
“In accordance with Covid restrictions and requirements as of March 2020, those employees who can work from home have been encouraged to do so.
“Although these agreements are not permanent, they offer an opportunity to review working methods and to drastically reduce travel requirements and thus costs.
“Senior officials have pledged to permanently reduce business mileage by 30% across the council, which could save employees £ 428,000 in travel budgets from 2021-22.”
It continues: “The medium-term financial strategy agreed by the Council in February 2021 recognized the unprecedented financial challenges facing the Council.
“One of the proposals approved is a review of working practices, exploring ways to improve efficiency, and possibly changes to employment conditions, where benchmarking shows that the Cheshire East Council has more favorable terms than other councils.
“The savings identified are intended to reduce costs in the long term and secure jobs.”
The Council believes that, subject to consultation and agreement with staff and unions, further savings in travel and mileage costs could be achieved and could cut costs by more than £ 750,000 by 2024.
At Tuesday’s meeting, city councils will be asked to support ongoing engagement with unions and employees on new ways of working and other workforce initiatives.
They are also asked to authorize the start of a formal consultation with the recognized unions on changes to a number of terms and conditions of employment at an appropriate time after the Council’s terms have been reviewed against other authorities.
The meeting of the Corporate Policy Committee will take place on Tuesday, September 7th, at 10.30 a.m. in Sandbach Town Hall.
