Visiting an Asda RDC recently, and wandering into the canteen, I was somewhat surprised to see a notice to the effect that the canteen was predominantly for the use of the RDC employees, and that visiting drivers would be subject to a 100% per cent levy on the food prices listed.
Are they taking the ā ā ā ā or what? If they donāt want us there then they can just say so and join the list of unfriendly companies.
Iām unaware of who made the decision but Iām sure of one thing, being that the individual involved has little knowledge of U.K. tax rules.
This is where it gets complicated. If they are saying that the cost to a āvisitorā is twice the amount that they would charge to an employee, then effectively, employee purchases are being subsidised by 50%, which in Taxation terms is a ābenefit in kindā and should be notified to HMRC in respect of every employee based at that depot (whether they use the canteen or not).
Whilst they might not like seeing us in there, is it in their interests to see their Tax codes adjusted in an adverse direction.
And if their Union Reps havenāt spotted the implications, then perhaps they need different people in those posts.
I would be inclined to drop the CEO a line at Asda house in Leeds,and inform him of this small problem,and then ask him for an explanation of why visiting drivers are subject to a 100% levy.
Donāt bother with any of the monkeys,write to the organ grinder.
Or better still,write to the local tax ofice in Leeds.
OK they charge a bit more, but it is a SUBSIDISED canteen for their employees (colleagues, whatever) surely the fact that they let you use it at all is a good thing
Iām not arguing with the fact that is subsidised, certainly in respect of Capital costs, but if it is not to attract the attention of HMRC then surely Operating costs must fall somewhere within the area of āBreak-evenā, and, as with any business, economies of scale dictate that the higher the turnover the smaller the operating costs become.
Nor do I particularly object to dual pricing. It used to occur at Tesco, Didcot, but was only in the region of 5%-10%. Similarly, when I did some of the old Safeway stores, their canteens again operated a system of dual pricing but the difference was fairly marginal. But that does not detract from the fact that such systems, by their nature, are ābenefits in kindā. After all, I fail to see any argument that serving a non-employee costs more than providing goods to persons employed at a specific location, or by a specific company.
Putting some rough figures into the equation, assuming a main meal plus nibbles and drinks at breaks comes to about Ā£3 per day. At a 50% discount that represents a subsidy of Ā£3 per person. Over a year (assuming 5 days per week) the figure is close to Ā£750 which would attract a Tax liability at 20% per employee. Multiply that by the number of employees and the Treasury is losing out onā¦almost enough to enable a couple of Chavās to run a blinged up Corsa.
I wonder just how many employees at this RDC realise that this policy may result in them having to pay extra Income Tax per year, in the region of Ā£150, even if the never use the canteen.
I will refrain from saying which depot at this stage.
Krankee:
Iām not arguing with the fact that is subsidised, certainly in respect of Capital costs, but if it is not to attract the attention of HMRC then surely Operating costs must fall somewhere within the area of āBreak-evenā, and, as with any business, economies of scale dictate that the higher the turnover the smaller the operating costs become.
Nor do I particularly object to dual pricing. It used to occur at Tesco, Didcot, but was only in the region of 5%-10%. Similarly, when I did some of the old Safeway stores, their canteens again operated a system of dual pricing but the difference was fairly marginal. But that does not detract from the fact that such systems, by their nature, are ābenefits in kindā. After all, I fail to see any argument that serving a non-employee costs more than providing goods to persons employed at a specific location, or by a specific company.
Putting some rough figures into the equation, assuming a main meal plus nibbles and drinks at breaks comes to about Ā£3 per day. At a 50% discount that represents a subsidy of Ā£3 per person. Over a year (assuming 5 days per week) the figure is close to Ā£750 which would attract a Tax liability at 20% per employee. Multiply that by the number of employees and the Treasury is losing out onā¦almost enough to enable a couple of Chavās to run a blinged up Corsa.
I wonder just how many employees at this RDC realise that this policy may result in them having to pay extra Income Tax per year, in the region of Ā£150, even if the never use the canteen.
I will refrain from saying which depot at this stage.
Blimey, itās a bit complicated I wouldnāt worry about the treasury losing out mate, the more Ā£ they get the more lesbian vegeterian muslim kosovan support groups will benefit
Polictical beliefs, slightly to the right of Genghis Kahn
Krankee, you obviously know your stuff . Get stuck right into them mate . I love situations like this, proper David an Goliath. Hope you take the matter further, keep us informed mucker.
Only used Asda canteens about 3 times at a few sites and never paid a different rate though last time I used one was about 3months ago, wouldnāt mind paying a small amount more than the staff but not double Could be worse, could be Morrisons who donāt want you using their canteen at all., but I donāt understand the mentality of lets treat our suppliers like crap, RDC staff are miserable, drivers are miserable and itās hardly suprising really. If they want to make money they should install some Prozac vending machines.
I rang up ASDA Bedford and politely asked who their main agency supplier was, that chap asked me my mane and said they didnāt have one main supplier but gave me a couple of names, i rang up a couple only to find that i had been blocked, and that i was not allowed to work there!
Mikejk:
I rang up ASDA Bedford and politely asked who their main agency supplier was, that chap asked me my mane and said they didnāt have one main supplier but gave me a couple of names, i rang up a couple only to find that i had been blocked, and that i was not allowed to work there!
Iām presuming he got āblackballedā for simply going to an Agency as opposed to asking for an application form. Perhaps there is a lesson to be learnt here? When contacting companies as to which agencies they use, ALWAYS give a false name.
The situation also invlokes the wider question as to whether the individual has been ādefamedā. If Asda has already contacted the agencies named and said, in effect, āWe donāt want Mr ā¦ working here.ā Have they then not also registered an opinion as to his/her integrity, ability, trustworthiness, etc, in a defamatory manner? Which might inhibit the stated agencies from employing that person on other contracts.
Trying to sue Asda for Defamation of Character, for which Legal Aid is not available, is a non-starter, and they know it.
It wasnāt intended as such, but this weekend has has turned out to be one of āflame ASDAā.
Mikejk:
I rang up ASDA Bedford and politely asked who their main agency supplier was, that chap asked me my mane and said they didnāt have one main supplier but gave me a couple of names, i rang up a couple only to find that i had been blocked, and that i was not allowed to work there!
Needless to say i never shop their
Do tell What did you do to get blackballed
Never been backballed from any direction thank you!
But like Krankee said itās probably because i asked for agency rather than full time stuff, probably put someones nose out of joint, which is what iāll do if i find the offending slanderer in the street
Well, well, well. What a difference a few weeks makes.
Whether it be due to the power of TNUK or the fear of HMRC, this particular depot is now issuing guidance that visiting drivers are welcome to use the canteen facilities, with conditions. Those being that the vehicle has been tipped and parked up or, with the authority of a Team Leader. Conditions, which, considering the limited size of the site, are not unreasonable.
Which then begs the question of, if there was a realistic problem, why did the person addressing the problem not consider this avenue from the outset?
Working environments invariably involve compromise. Driving, in itself, is often a matter of compromise in relating to the wishes and expectations of other road users. Some of which may be met, others not.
Clearly, the initial decision was made by a person who had been promoted beyond their intellectual capabilities and had little or no awareness of the Taxation implications of the decision.
When considered in the context of āMcGregorās theorem of X and Yā, then the individual concerned must surely rate a āDā, for Dunce.
Krankee:
Well, well, well. What a difference a few weeks makes.
Whether it be due to the power of TNUK or the fear of HMRC, this particular depot is now issuing guidance that visiting drivers are welcome to use the canteen facilities, with conditions. Those being that the vehicle has been tipped and parked up or, with the authority of a Team Leader. Conditions, which, considering the limited size of the site, are not unreasonable.
Which then begs the question of, if there was a realistic problem, why did the person addressing the problem not consider this avenue from the outset?
Working environments invariably involve compromise. Driving, in itself, is often a matter of compromise in relating to the wishes and expectations of other road users. Some of which may be met, others not.
Clearly, the initial decision was made by a person who had been promoted beyond their intellectual capabilities and had little or no awareness of the Taxation implications of the decision.
When considered in the context of āMcGregorās theorem of X and Yā, then the individual concerned must surely rate a āDā, for Dunce.
is anybody else wonderingā¦
āis there an asda driver on here that has read this and mentioned it to their boss, who has mentioned it to their boss who has looked on here and thoughtā¦oh (knife and) fork, we might have to address this matter before the tax office get wind of it?ā
the war is not won but small victories make it easier to see the end!
I wouldnāt worry about the treasury losing out mate, the more Ā£ they get the more lesbian vegeterian muslim kosovan support groups will benefit 
. Get stuck right into them mate 
Could be worse, could be Morrisons who donāt want you using their canteen at all., but I donāt understand the mentality of lets treat our suppliers like crap, RDC staff are miserable, drivers are miserable and itās hardly suprising really. If they want to make money they should install some Prozac vending machines.