What Should a Good Corporate Travel Policy State?
In an economy that is still very uncertain it is a very unwise company that does not have a written corporate travel policy. Having one, even for small businesses, can save money for both the company and its employees. But what should a good corporate travel policy actually say? Here are some of the crucial elements any corporate travel policy should contain:
Who Pays for What – The biggest reason to implement a corporate travel policy is to ensure that everyone is on the same page as to who is exactly responsible for paying for every element of a business trip.
Certain expenses it is expected that the company will cover in full – airfares or mileage, rental cars, basic accommodations and certainly a daily food allowance are some of the bigger ones. Different companies have different ideas about what is fair and reasonable though which is why it is so important to clearly outline your corporate travel policies from the start.
For instance, is the employee to book their own accommodations or have that done for them by a central HR person? Is there a particular hotel or motel chain that the corporation wants employees to stay out when on the road? Is there a per night dollar limitation that employees must adhere to? All of the questions have to be answered and written down in black and white for a corporate travel policy to be effective.
That also applies to the travel itself – what airline should be used, what car rental company is approved and what kind of vehicle can employee rent, or if they are driving their own vehicle what id the per mile reimbursement rate are just some of the issues that need to be addressed.
The Corporate Travel Policy Sticking Point – Food
One area that can cause more than a little friction if the rules are not clearly stated is reimbursement for dining expenses. It is easy to decree that employees only fly with American Airlines or that they only rent cars from Hertz but limiting their meals to certain establishments or types is tough. Few employees are going to be happy if they are told they can only order off the dollar menu at McDonalds.
Many companies simply state in their corporate travel policy that employees will be allowed a certain dollar limit a day for food and drink related expenses and anything over that comes out off their own pocket. That does mean that the employee has to do a little forward thinking if they do not want to end the day paying for their own dinner because their Starbucks Latte habit already cost them their food allowance.
To plan out meals a little better a little internet research before travelling helps. If an employee has an idea of what the dining choices are they have a far better chance of managing their food allowances better. Google Local can be of great assistance because most of your local dining choices should be listed right there.
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