Should Employees Pay for Broken/Lost Equipment?

[Toni269]

I manage all of the cell phones and wireless PDA/Blackberries for my company. Occasionally people loose or break their devices. Another problem is that I don't always get the equipment back when they terminate. I used to have people pay for the device when they are broken/lost, but mostly that led to people saying, "well I don't want a cell phone then", but the company wants them to have one to be on call. Now I don't ask any questions and just replace the device. I have some users who abuse the system. (One person has already had two cell phones replaced this year). Also charging people for equipment has led to some confrontation, so I decided it just wasn't worth it. I don't have support from the HR Department either way. Is there any way I can have these employees sign some contract that I could enforce on my own? I'm trying to stay within budgets and it's difficult when you have to replace devices for over $200 each!

 

[SF0751]

Here is our cell phone policy:

If your job requires you to be on call, either we will provide a cell phone for your use or you may use your personal cell phone and submit an expense account for a monthly reimbursement towards to cost ($30.00 flat per month). There is one standard style of cell phone that we will provide. If the cell phone is lost or damaged, and if I can obtain a replacement for free, you will not be charged. (That's why I have a stack of 2-3 year old cell phones in my supply closet - they're old and ugly, but they work). If the cell phone company charges me for the replacement, then you are responsible for reimbursing the company for that expense.

By the way, our current cell phone style is the Nokia 6010 - plain and free of most bells and whistles. We don't support the flip-style phones or the ones with cameras, etc. HR is neutral on the policy but our accounting department is the one with the muscle to enforce it.

Susan
"'I wish life was not so short,' he thought. 'Languages take such a time, and so do all the things one wants to know about.'"
- J. R. R. Tolkien, The Lost Road

 

[Thadeus]

That's a tough call Toni. I don't envy you. I know that when I've had those things supplied for me, I always took care of them, so I wouldn't be one of your problem employees.

The only thing I've ever damaged was a company supplied laptop. I broke the automatic cupholder that shoots out of the side (it was shooting out of the side when I accidently fumbled the whole thing).
The company replaced the cupholder thingy for me and I was very grateful. Had it been up to me, I'd have had to do without a cupholder... I didn't drink coffee at the time and those things were even more expensive back in the day.

~Thadeus

 

[Kjonnnn]

Maybe for persistent abuse, or negligence. It would be totally subjective and case-by-case.

If someone is constantly losing a phone or laptop ... something else is going on.

People have accidents and things just happen. I'd think the company could afford to fix or replace. But if you find that equipment is being abused or negligently used, the employee should be put on warning that they would be responsible. Ideally, that should happen at the point of distribution of the equipment. The person that has lost 3 phones, should be told, "If this one gets lost, you're paying for it." Have them sign something.

 

[sleipnir214]

I have no experience of a company's doing this, but what about simply depreciating the value of the device? A cell-phone, through normal use, will last, say, 18 months. If the user breaks the phone after only 9 months, he/she owes half the cost of the item, and the company pays the other half.

But have case-by-case, too. If an employee's phone is stolen during his being mugged while walking from his hotel to a conference to which the company made him go, the company pays.


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[Toni269]

I like the idea of the case by case and depreciating the value, it sounds fair. Susan I applaud you for keeping the phone devices simple. My problem is that old devices weren't available & go out of production so I gave up and only order the latest & greatest which creates another problem. When users break/loose devices, they usually get an upgraded model as a replacement. It's a vicious cycle. I'm sending an email right now to my abuser who took his phone out of the country and left it in a backpack in the rain and had me troubleshoot for 2 days (remotely) trying to find out why it won't hold a charge. Arrrgh!

 

[Stevehewitt]

Either get a batch of crappy older phones, or phones like the basic ones (without the camera's and bluetooth and defo not 3G!) - users will soon think that submitting an expenses bill is a prefered choice.

Otherwise, the first phone is company paid for - after that the employee will pay or they will have to use their own.
Check with HR if it's in their contract to be on-call / contactable. If so, IT can enforce it's own policy to provide just the one phone and then it's up to the user.

Ta,



Steve.

"They have the internet on computers now!" - Homer Simpson

 

[chiph]

Pick an expected lifespan for your phones (18 months, etc). If they break it before that time, they pay to replace it.

Chip H.


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[dkediger]

Ideally this should be dealt with through HR/Performance Review/Terms of Employment policy.

IT should only be required to apprise the employee's supervisor of the loss/damage and perhaps then respond to an inquiry from the supervisor regarding an opinion of intentional/unintentional nature of the incident.

If the IT budget is being depleted because of excessive replacement costs, its time to involve management about departmental chargebacks.

Extended warranties also become more cost effective for an item like a notebook computer used in a truly portable sense rather than just a desktop replacement.

 

[alicep]

We were in a similiar situation, having both phones and computers. We started comparing notes with other departments and the same folks that were breaking phones/computers, were losing dollies and wrecking vehicles. Were they careless or just didn't care? This awareness led to upper management taking notice and now things have changed for the better.

Now, when accidents happen, they are reviewed on a case by case basis by HR and Senior Management (not IT). If the employee is found negligent, (ex: lost their phone while at a party in Tiajuana (sp?)) they are charged on a per offense basis. I think the first is $100, the second $250. If they are still around for a 3rd, I don't think they are kept around for the 4th! I'm not sure of the exact dollar amounts, but in that general range. This negligence policy applies also if they run into a dock door with a forklift or fender bender a company vehicle. And, it also applies to ourselves in the IT department who have also been guilty of losing cell phones and should have to pay like everyone else. (I was not the one at the party in Tiajuana, but heard it was a good time.) If at all possible, get an across the board policy on equipment responsibility. Your budget will still take the hit for the replacement equipment, but management will know the reasons for the budget bulge. Good Luck. Alice