“In today’s talent-short market, the attraction and retention of talent are critical for all People and Culture professionals. One compelling way to do so is by engaging an employee benefit provider that can help employees save money and that cares deeply about their financial wellness. Being proactive in engaging a novated leasing provider that can support their staff on their financial wellness journey shows they care,” says Alex Davis, Co-Founder & Director, leaselab.

leaselab is a sponsor company at the marcus evans HR Summit 2024.

Why should more employers consider providing novated leasing?

Employers can’t afford to be complacent with their employee benefit offering. Ensuring they have a benefit partner that is aligned and adds tangible value to their employees is a must in 2024. A novated lease when administered properly, can save their employees tax and essentially gives them a pay rise with no cost to the business. It’s a fantastic benefit that shows care for employees and supports them in the current cost of living crisis.

Why is novated leasing winning out against traditional car loans and buying a car outright?

A novated lease at its core is all about minimising income tax and GST payable. This provides a tax effective solution for employees to run a vehicle, and in turn puts more money back into their pocket. Novated leasing also acts as a great budgeting tool, by allowing employees to bundle a vehicle’s running costs, and have it taken out from their salary before tax. This further saves tax and splits out these costs.

What are employees looking for? 

Employees want a provider they can trust, that will provide a quality service. They are engaging in a financial commitment, so they want to make sure the provider will do the right thing for their financial health. That it’s not just another sale for them. The service they receive needs to be seamless, open, and educational. They want a full understanding of the agreement they are taking on. They want to know that their employer has engaged a provider that cares about them. 

What are employers looking for, to switch provider? What is unique in your approach?

Employers want a provider that makes things easy for them, that removes complicated invoicing processes and makes it simple for them to administer the service. A provider they align with culturally.

Novated leasing is a three-way relationship between the employer, employee and the novated lease provider. A good provider will look after all parties involved. This seems very basic, but many providers lack in this area. We have invested heavily in our in-house proprietary technology to deliver an employer specific log-in portal that gives employers live FBT reporting, invoicing, historical statements etc. As well as a client login for the driver. This is truly unique in the market. We also have a panel of financiers and seek the best deal for the individual. Looking after the employee as well as the employer is unique in the market.

Leaselab works with every employer to deliver a bespoke solution that achieves a truly seamless and integrated experience.

Any final thoughts?

Having a novated leasing provider that cares for employee financial well-being means they are being authentic and aligning their business with genuine partners. We know that actions speak louder than words, and it’s the actions of the employer to ensure they choose a progressive novated leasing provider that prioritises well-being over a sale. This is the perfect way to reflect that. It’s important to continually review your benefit providers to ensure that your staff are having a positive experience aligned with your culture and values. The linkage between the benefit provider and the business itself is very close.