Reply To: Motability hitting new highs!

#235142
Glos Guy
Participant

    I see like most of the threads on here this has turned into one saying we should all be grateful to Motability despite the enormous profits they generate and the over average wages and benefits they pay to their employees. I’m not grateful to them one bit. I see a Motability lease as a business transaction that either suits me or not depending on what is on the scheme at what cost. I do however accept that for some people it is their only way of getting a new vehicle at a price they can afford. I’m not in that bracket and I’m thankful for it.

    I think that we have already established that the Motability scheme is a godsend for many disabled people, but clearly there still lingers the argument that MO profits & salaries are excessive. . Nobody would support excessive profits. Any well run efficient business however will make a profit on its operation and in the case of Motability these profits are reinvested in the business ie held in reserve to safeguard the business and to have ready funds available to grow the business and are not distributed to shareholders! The actual annual profit is not excessive.. The National Audit Office report on Motability says- “The Motability scheme delivers an excellent service to its customers, earning remarkable satisfaction levels. Motability Operations’ management deserves credit for having turned the business around and investing in features that have enhanced benefits for customers. ” No one supports unjustified salaries, but to attract the right calibre of staff, salaries must be competitive MO have offices in London, Edinburgh and Bristol ,the first two being the epicentres of business/commerce Etc., and the third being geographically placed to deal with the West Country and Wales. According to Reed employment, in 2021, the average UK salary for a Customer Service operative is £22,003 , with a low of £20400 and a high of £24500, and for a call centre operative it is some £25500 with the ability to earn into the late £30,000’s. The salaries paid by Motability Operations as reported are an average of £24640 which includes any bonuses , for Customer Services and £25408 in a Call centre. It seems to me, that these incomes , albeit towards the top end of the scale, are not excessive, especially as they are averages which include working in London and Edinburgh.OK

    Blimey. Where to start with that lot Mike! The NAO report was a complete whitewash. Other investigations, such as the one done for the parliamentary review, were far more probing and exposed the real picture, such as the fact that each lease is overpriced by several hundred pounds. To take some of the other points that you raise though;

    Most call centre staff have very tough sales targets to hit for products or services. Motability Operations staff don’t, yet their basic salaries are top end and they also receive very generous bonuses against very soft (non sales) targets.

    Even the most junior staff at Motability Operations have a gold plated benefits package, the like of which is virtually non-existent anywhere these days, let alone call centres. The fact that this is paid for by the surrendered benefits of disabled people is IMHO shameful.

    Satisfaction levels will always be high amongst those who use the scheme, as the metrics are soft and many customers seem to think that Motability are doing them a great favour and don’t really understand the true cost of running a Motability car. The far more important service measures would be establishing why twice as many people who are eligible to join the scheme choose not to. For every eligible person who feels that Motability is a great option for them, two don’t!

    Without an ounce of consultation with those who fund the scheme (i.e. us) Motability now donate millions to other charities. I would rather see that money put to reducing APs. Any Motability customer wishing to donate to other charities is free to do so.

    I could go on, but you get my drift. The concept of Motability is fantastic and I completely understand that for many it offers a lifeline and may be their only route to running a new car. However, IMHO its monopoly position and lack of robust scrutiny has allowed it to drift massively from its core purpose and with no competition and full VAT exemption they could be offering far more choice at far better prices.