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NEWS RELEASE

VIEWS: 3 PAGES: 6

									                                                                 Efficiency, Compliance,
                                                                 Cost Reduction...delivered


                                NEWS RELEASE
                       23 December 2009– For Immediate Release
  Public tolerance of expense fiddling at work halved because of expenses scandal

A hard-core 13 percent of expense-claiming employees bump up their expenses by up to 25
                                        percent

Public tolerance of expense fiddling in the workplace has halved since last year according to new
research from GlobalExpense. In 2007 and 2008 almost a third (34 percent and 30 percent
respectively*) of people said that exaggerating expense claims was acceptable some or all of the
time, this year the figure has fallen to just 14 percent - good news for employers.

David Vine, managing director of GlobalExpense, said: “It’s safe to assume that the MPs’ expenses
scandal has had a knock-on effect and that the British public no longer wants to be seen to condone
this behavior in the workplace.”

The vast majority of expense-claiming employees – 80 percent – say they never bump-up their
expense claims, leaving a hard-core of 15 percent who do. Of these, 13 percent increase their expense
claims by up to 25 percent with the remainder adding on more.

Three-quarters of people surveyed (75 percent) said they would not trust someone who fiddles their
work expenses with other areas of business such as signing contracts with suppliers, putting together
sales figures or making budget requests.

Yet despite the stronger stance against expense fiddling, 32 percent of people admit to meeting
friends or colleagues for a social lunch or drink, which was probably or likely to consequently be
claimed as a business expense.

Valid reasons for fiddling expenses included:

   •   When an employer doesn’t reimburse all of the costs incurred by the employee (71 percent)
   •   When an employer takes a long time to reimburse the employee (36 percent)
   •   When an employee’s boss is taking advantage by making expensive claims (26 percent)
   •   When an employee feels they are not paid a fair salary (24 percent)

The research also found that employers are not clamping down on expenses because of the recession
with only nine percent of employees saying they now claim less as a result. Similarly only two percent
see the recession as an excuse to exaggerate their expenses.
   “Perceived unfairness is the main reason people fiddle expenses,” said David Vine. “Fortunately
  for employers employees generally don’t fiddle expenses because they think they can get away
  with – the research shows that only 9 percent found this an acceptable reason to exaggerate
  expenses – which is good news because 77 percent of employees say their employer never queries
  their expense claims. If employers want to prevent expenses fiddling they need to make sure their
  expense policy is fair and that employees are reimbursed quickly .”

                                                    - Ends -




Issued by Kelso Consulting on behalf of GlobalExpense. For further information please contact:

 David Vine              Jacky Morgan (00 39 348 405 2028/
 Managing Director,      00 39 029 272 9055) or Becky Ashall
 GlobalExpense           (020 7242 2273)
 020 7298 5732




         EDITOR’S NOTES


* From GlobalExpense surveys conducted by YouGov in 2049 GB adults 24th - 28th August 2007 and 1970 GB
adults in 27th - 29th October 2008

All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 2055 adults. Fieldwork was
undertaken between 13th - 16th November 2009. The survey was carried out online. The figures have been
weighted and are representative of all GB adults (aged 18+).

Founded in 1999, the GlobalExpense service was designed by a specialist team with expert knowledge of
accounting and tax. The GlobalExpense solution relieves clients of the high volume, low value time-consuming
duty of processing employee expense claims and complying with the law. At the same time, GlobalExpense’s
economies of scale allow them to pass on direct savings, improved management information and an excellent
service to their clients and their employees.

Clients include a wide range of large and smaller businesses, including British Airways, Sainsbury’s, Global
Radio Services, Brakes, Reckitt - Benckiser, WH Smith plc, and Fujitsu-Siemens Computers Inc.
YouGov Survey Results:

                                                                               Total

                                                                               Base

Do you think it is acceptable for people to exaggerate their work
expenses when claiming them back from their employer?
                                                          Unweighted Base      2055
                                                               All GB Adults   2055
                                          Yes, it is acceptable all the time   1%
                                    Yes, it is acceptable some of the time     13%
                                                  No, it is never acceptable   83%
                                                                 Don't know    3%

Under which, if any, of the following circumstances do you think it
may be acceptable for people to exaggerate their expense claims?
(Please tick all that apply)
                                                     Unweighted Base 249
       All GB Adults who think it is acceptable to exaggerate expenses 287
                   When an employee feels they are not paid a fair salary 24%
         When an employer takes a long time to reimburse the employee 36%
        When an employer doesn’t reimburse all the costs incurred by the
                                                              employee 71%
       When an employee does a lot additional hours of unpaid overtime 68%
      When an employees boss is taking advantage by making expensive
                                                                claims 26%
                     When an employee knows they won’t get caught 9%
                       When an employee has not had a pay rise in a year 19%
                      When an employee is struggling to make ends meet 16%
                                                                 Other 3%
                                                            Don't know 6%

Do you think your current employer exaggerates his or her expenses?
                                                        Unweighted Base        2055
                                                              All GB Adults    2055
                                                             Yes, definitely   4%
                                                              Yes, probably    12%
                                                          No, probably not     13%
                                                         No, definitely not    13%
                                                                Don't know     16%
                                    Not applicable – I don’t currently work    27%
         Not applicable - I don't have a boss/ they don't get paid expenses 14%
Have you ever accepted an invitation to a social lunch or for a drink
from a friend or colleague who put it on their business expenses?
                                                       Unweighted Base        2055
                                                             All GB Adults    2055
                                                     Yes, I definitely have   11%
                                              Yes, I more than likely have    7%
                                                      Yes, I probably have    14%
                                                        No, I doubt I have    18%
                                                         No, I never have     46%
                                                               Don't know     5%
Would you trust someone who fiddles their work expenses with other
areas of business such as signing contracts with suppliers, putting
together sales figures or making budget requests?
                                                       Unweighted Base        2055
                                                          All GB Adults       2055
                                                            Yes, I would      11%
                                                         No, I would not      75%
                                                            Don't know        13%
Does your employer have a written expenses policy? (If you are an
employer please think about if you have a written expenses policy)
                                                      Unweighted Base         1464
                                               All GB Adults who work         1498
                                                          Yes, they/ I do     44%
                                                       No, they/ I do not     24%
                                                             Don’t know       32%
You said you/ your employer has a written expenses policy...
Are you clear about what you are entitled to claim for and what is not
allowed?
                                                      Unweighted Base         639
All GB Adults who work and their employer has a written expenses
policy                                                                        658
                                                               Yes, I am      85%
                                                            No, I am not      15%
Do you claim expenses in your current job (or did you in a previous
one)?
                                                      Unweighted Base         2055
                                                          All GB Adults       2055
                                                            Yes, I do/ did    45%
                                                        No, I do/ did not     50%
                                 Not applicable - I have never had a job      6%
Does/ did your employer ever query or reject your expense claims for
being ‘out of policy’?
                                                    Unweighted Base         969
                                     All GB Adults who claim expenses       916
                                                       Yes, all the time    2%
                                                       Yes, sometimes       6%
                                                         Yes, but rarely    13%
                                                               No, never    77%
                                                Don't know/ can't recall    3%
For each of the following please indicate how frequently, if at all, you
do/ did them when claiming expenses. (Please tick one option on each
horizontal row)

Used a blank taxi receipt to claim for a non-existent journey
                                                       Unweighted Base      969
                                      All GB Adults who claim expenses      916
                                                          Almost always     0%
                                                                   Often    1%
                                                                  Rarely    6%
                                                                   Never    92%
                                                        Prefer not to say   0%
Claimed expenses for a social meal with a friend by claiming it was a
business lunch
                                                       Unweighted Base      969
                                      All GB Adults who claim expenses      916
                                                          Almost always     1%
                                                                   Often    2%
                                                                  Rarely    8%
                                                                   Never    90%
                                                        Prefer not to say   0%
Claimed for more miles than you actually travelled when making a
mileage claim
                                                       Unweighted Base      969
                                      All GB Adults who claim expenses      916
                                                          Almost always     2%
                                                                   Often    6%
                                                                  Rarely    17%
                                                                   Never    75%
                                                        Prefer not to say   0%
Which, if any, of the following statements do you agree with? (Please
tick all that apply)
                                                    Unweighted Base 969
                                     All GB Adults who claim expenses 916
             I have exaggerated expense claims because of the recession 2%
  Since the recession started, my employer has cut back on expenses and
                                as a result, I now claim less than I used to 9%
             The MPs’ expense scandal has made me increase the amount I
           exaggerate my expense claims. If they can do it, why can't I too? 2%
    It takes longer for my employer to reimburse my expenses now than it
                                                      did last year (i.e. 2008) 8%
It’s OK to add a little bit on to your expense claims, everybody does it. It’s
                                                             just the way it is 5%
                 My boss claims for all sorts of things so why shouldn’t I?    3%
    The odd round of drinks or a meal doesn’t hurt anyone and I work long
                                                       hours so I deserve it   6%
                                                            None of these      74%
                                                          Prefer not to say    2%
Overall, by what percentage do you tend to exaggerate your expense
claims by?
                                                        Unweighted Base        969
                                       All GB Adults who claim expenses        916
                             0% - I do not exaggerate my expenses claims       80%
                                                            Less than 25%      13%
                                                                  26 to 50%    1%
                                                                  51 to 75%    1%
                                                                  76 to 99%    0%
                                                                       100%    0%
                                                               Don't know      4%
                                                          Prefer not to say    1%
Approximately, how long does it typically take your employer to
reimburse you for your expense claims from the date the claim is
lodged to your employer's payment to you?
                                                       Unweighted Base         969
                                       All GB Adults who claim expenses        916
                                                        Less than a week       18%
                                                       One to two weeks        19%
                                                      Two to three weeks       11%
                                                      Three to four weeks      22%
                                                        Four to six weeks      13%
                                                     More than six weeks       3%
                                                              Don't know       13%

								
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