HomeMy WebLinkAboutEmployer-Supported Transportation - HUM-WOR-2042Page 1 of 3
POLICY HUM-WOR-2042
EMPLOYER-SUPPORTED
TRANSPORTATION
Category
HUM - Human
Resources
Sub-category
Workplace
Practices
Approval Type
COUNCIL
Department/Division
Corporate Services /
Human Resources
Author and Position
Human Resources
Date Approved
December 16, 2024
Last
Reviewed/Amended
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enter a date.
Next Review Date
June 1, 2029
Related Policies or Procedures
• HUM-WOR-190 Personal Vehicle Use – Reimbursement
Policy Purpose
To provide support for employees related to transportation to the workplace to support
internal alignment among municipal work sites where feasible.
Definitions
Taxable benefit: Benefits provided by employers to employees which are considered a form
of compensation and are subject to income tax by the Canada Revenue Agency.
Pensionable earnings: The value of taxable earnings or benefits which are subject to
Ontario Municipal Employees’ Retirement System (OMERS) and Canada Pension Plan
(CPP) contributions.
Policy Scope
Where the terms of a Collective Agreement differ from this Policy, the terms of the Collective
Agreement will apply.
Application
☒ Employees (Indicate below which categories apply: All employees, Permanent full-time, Temporary full-time, Continuous part-
time, Casual, Probationary, Student, Management, Non-union) • All employees
☐ Unions (Indicate below which categories apply: All Unions, CUPE 68 Civic, CUPE 68 Mechanics, CUPE 791, IATSE, IBEW, KPFFA)
• Click or tap here to enter text.
☐ Council
☐ Specified Positions: Click or tap here to enter text.
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☐ Other: Local Boards and Advisory Committees
Policy Content
Employer-provided parking
Employees who report to a municipal work site (i.e., normal place of work) with fee-based
parking may request employer-provided parking at a City-operated garage or lot for the
primary purpose of attending the work site, as a taxable benefit. The lot or garage assigned
will be dependent on the availability of an open space at the requested parking location.
Employees receiving employer-provided parking will incur a deduction from their pay of the
calculated taxable benefit on a regular schedule in accordance with their pay frequency. The
taxable benefit will be based on the fair market value of the chosen City-operated garage or
lot.
Personal vehicle use for business travel
Employees in jobs that meet the Canada Revenue Agency (CRA) threshold of requiring the
use of a personal vehicle for business travel the majority of the time will not incur a taxable
benefit as a result of meeting this threshold, per the CRA. Jobs will be identified by Directors
and approved by the Corporate Leadership Team (CLT).
If the City of Kitchener or an employee is audited by the CRA and the employee is found to
be non-compliant regarding the use of their personal vehicle for work purposes, the employee
will be liable for any income tax payable as well as associated penalties or fines.
Employees who use their vehicle for work occasionally but do not meet the CRA threshold
are not eligible for a reduction of the taxable benefit. As a result of any business travel, they
will be eligible to claim mileage reimbursement and any parking charges incurred at their
destination in accordance with Council Policy HUM-WOR-190 Personal Vehicle Use –
Reimbursement.
Falsifying the usage of a vehicle for work purposes, mileage, or transferring parking access
to anyone else is considered fraud and will be subject to disciplinary action up to and including
termination of employment.
Subsidized monthly transit pass
Employees who purchase an eligible Grand River Transit monthly pass for the primary
purpose of attending the work site are eligible for a monthly subsidy as a taxable benefit. The
taxable benefit will be based on the value of the subsidy.
Transferring a qualifying transit pass or allowing anyone else to use it is considered fraud
and will be subject to disciplinary action up to and including termination of employment.
Pensionable earnings
The value of employer-provided parking and the transit pass subsidy is considered
pensionable earnings and is subject to OMERS contributions. In some cases, the value of
these benefits may also be subject to additional CPP contributions for employees whose
annual contributions have not reached the CPP contribution limit.
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Results of Review
☐ No Edits Required
☐ Housekeeping Edits
☐ Substantial Edits
☐ Repeal/Replace
Policy History
Administrative and Housekeeping Changes
Date Nature of Change
yyyy-mm-dd Departmental re-organization/Titling changes/ Standing Committee
restructuring.
Substantial Changes
Date Council/CLT Directive
2024-12-16 Resolution passed by Council, see report COR-2024-514