Hi there folks,
Just a quick one - if I am being paid mileage and my employer is, in turn, claiming those miles from the company we are sub-contracting for, is it legal - or ethical - to pay me less per km than is being claimed?
I understand that it is completely the norm to charge out your employee at a higher rate than he/she is paid, that is how the business makes its margains, but surely the mileage fees should be passed on?
I'm sure someone here knows the ins and outs of this situation better than I do - this is my first position where I am required to use my own vehicle, and I am clocking up thousands of km's per week - the mileage rate, I feel, will not adequately cover costs (although I am yet to do all the figures).
I have researched recommended (AA, IRD) and current (M.O.E. etc) rates and mine is far below the average - I am fairly certain the contract will be for a higher mileage figure.
Any info will be much appreciated!