XPO, a leading provider of innovative and sustainable end-to-end logistics solutions across Europe, has announced the launch of its UK Electric Vehicle (EV) and Hybrid Salary Sacrifice Scheme. This exciting programme not only provides employees with new transportation options but also offers significant financial and environmental benefits.
By participating, colleagues can save on income tax and National Insurance Contributions (NICs) while contributing to XPO Logistics’ sustainability goals. This initiative underscores XPO’s commitment to enriching employee benefits and advancing environmental stewardship.
A salary sacrifice scheme is an employer-provided programme in which employees agree to give up part of their cash pay in exchange for services or goods. Typical examples are pension schemes and the popular UK Cycle to Work initiative.
Through a strategic partnership with the reputable vehicle leasing company Arval, XPO Logistics can offer competitively priced leasing options. These prices reflect the National Insurance savings the company shares with its employees, making the scheme affordable and attractive. The programme is open to all permanent XPO Logistics colleagues who have completed at least six months of continuous service with the firm.
This initiative facilitates financial benefits by reducing taxable income and supports eco-friendly commuting solutions, aligning with the company’s sustainability goals – particularly its commitment to carbon neutrality by 2050. This is a significant step towards reducing carbon emissions and preserving the environment for future generations.
Lynn Brown, vice president, human resources – UK and Ireland, said:
“Through this scheme, we reaffirm our commitment to employee welfare and the environment. We provide solutions that simultaneously benefit our team and the planet. This initiative reflects our core values of innovation, people focus, and sustainability in action at XPO Logistics.”
The advantage of salary sacrifice is that employees no longer pay income tax or National Insurance Contributions (NICs) on the amount of salary sacrificed. The amount employees save will depend on their personal incomes. For example, an XPO employee on a £30,000 salary typically saves 20% income tax and 12% NI (Total: 32%) on the salary sacrificed. Someone with an income of £55,000 can save 40% income tax and 2% NI (42%) on the salary sacrificed.
Employees who choose electric or hybrid vehicles contribute to reduced carbon emissions. Additionally, the scheme covers all insurance and maintenance costs for a hassle-free driving experience. This initiative supports personal budgeting and promotes a greener, more sustainable future.
XPO’s Salary Sacrifice Scheme will boost employee satisfaction by providing accessible, eco-friendly transportation options. The widespread adoption of EVs and hybrids is expected to substantially lower carbon emissions, directly contributing to a greener environment and aligning with global sustainability efforts.
While competitors offer similar schemes, XPO’s initiative combines substantial tax and NI savings with inclusive insurance and maintenance packages. This holistic approach emphasises the company’s focus on financial and environmental benefits, making it a leader in employee benefits.
XPO Logistics is a leading innovative supply chain company in Europe. It offers end-to-end logistics solutions that combine full-truckload, less-than-truckload, pallet distribution, last-mile delivery, global freight forwarding, and warehousing services. The company tailors its solutions to the specific needs of its customers in a wide range of industrial and consumer sectors.
Find out more about XPO Logistics at www.xpo.com