Your Flexible Friend - Part-time Furlough Begins

A flexi furlough scheme has commenced

Businesses now have the flexibility to bring furloughed employees back to work part time (from 1 July) as part of the government’s plan to re-open the UK and kick-start the economy.

Firms have been given the flexibility to decide the hours and shift patterns of their employees – with the government continuing to pay 80% of salaries for the hours they do not work.

The Coronavirus Job Retention Scheme (CJRS) has so far helped protect more than 9.3 million jobs through the pandemic, with employers claiming more than £25.5 billion to support wages.

The scheme will remain open until the end of October.

The new flexi furlough has come into play a month earlier than previously announced.

Individual firms will decide the hours and shift patterns their employees will work on their return, so that they can decide on the best approach for them - and will be responsible for paying their wages while in work.

 

 “Our number one priority has always been to protect jobs and businesses through this outbreak. The furlough scheme, which will have been open for eight months by October, has been a lifeline for millions of people and as our economy reopens we want that support to continue.”

– Rishi Sunak 

MP, Chancellor of the Exchequer

 

Payback

From August, the level of government grant provided through the job retention scheme will be slowly tapered to reflect that people will be returning to work. Businesses will be asked to contribute a modest share, but crucially individuals will continue to receive that 80% of salary covering the time they are unable to work.

The government has also announced that businesses who no longer need the CJRS grants they previously claimed have the option to voluntarily return them.

This is in direct response to employers asking how they can return grants voluntarily – and businesses are under no obligation to do this but should contact HMRC if they want to pay the grant back.

 

More information about the changes can be found here.

 

Picture: A flexi furlough scheme has commenced

Article written by Cathryn Ellis
07th July 2020

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