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Employer started requiring the use of employee credit for travel.

  • Thread starter Thread starter flatheadv8
  • Start date Start date

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flatheadv8

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i have been with a small branch, 300, of a 40,000 employee corp for two years. the corp was recently bought by a second 40,000 employee corp, making the company 80,000 strong. the new corp is changing the employee travel plan.

the old corp had a travel company that charged airfare to the corp directly and the employee would be allowed an 50% cash advance for hotel and meal and rental car fees with reembursement upon return for the remainder. i usually put the remainder on my own credit card.

the new corp is requiring the employee to apply and be approved for a corporate american express card in the employee's name. the employee must charge all fees including airline, hotel, etc and also any cash needed is available via most any ATM. the employee is responsible for the bill which must be paid in full at the end of a 25 day grace period whether or not the corp has had the time to issue a reembursement. the employee is not allowed to use the card for personal use of any kind.

my question is: if an employee is required to travel to properly do his/her job and if the credit card company turns down the credit application for any reason or if the employee does not want additional credit inquiries or if they will not have the money to cover the costs, which get as high as $6 or 7,000 while he/she is awaiting reembursement, then is the employer allowed to remove the employee or demote and restrict that employee from further advancement?

thanks, flatheadv8.
 



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