Half of grads offered company car with first job

The number of company cars in Belgium increased by 16% in the last five years, according to a study by consulting firm Hay Group. The study reveals that last year there were about 650,000 company cars on Belgian roads, and that an estimated 50% of university graduates are offered a company car at their first job. In neighbouring countries this figure is only 16%, write De Tijd and Het Nieuwsblad.

Company cars are a benefit offered by many companies in Belgium as a way to recruit staff. "If we want to attract young talent, we have to offer it," Cegeka CFO Stephan Daems told De Tijd. "All of our competitors are doing it. And most people in our industry need to be on the road a lot."

Company vans offer the highest tax benefits for employers. "A company car is fiscally attractive for both the employer and the employee. Also, employers increasingly expect their employees to be flexible and mobile. The company car makes this possible," said Walter Janssens Hay Group.

Company cars are under fire in Belgium, however, with critics arguing that they contribute to traffic congestion and pollution. It does not yet appear that the government has plans to amend its legislation on company cars.