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The furlough scheme or the Coronavirus Job Retention Scheme (CJRS), has been revamped with changes set to come into force in July.
From July 1, furloughed workers will be able to come back to work on a part-time basis with the 80% furlough scheme remaining in place for the days when they are back on furlough.
Part-time furloughing will be restricted to employers who are currently using the scheme and have previously furloughed employees. The closing date will close for new entrants on June 30, with the last three-weeks furloughs before that point commencing on June 10.
There are specific criteria you need to be aware of, such as the number of employees you claim for in July cannot exceed the number you have claimed for by June 30, unless you have an employee returning from a statutory leave, such as parental leave.
Starting in July, the minimum number of claim days will be seven days as opposed to the current three weeks, with a maximum number of CJRS claims being four per month.
The first time you will be able to file your claims for July is on July 1, for periods ending on or before June 30 and the last day will be July 31.
Going forward, other changes will come about in the following months:
Small businesses will be expected to cover national insurance and pension contributions of workers on the CJRS.
Businesses will have to cover 10% of the wage costs of their furloughed workers plus National Insurance and pension contributions. The Government will pay 70% of wages up to a cap of £2,187.50 for the hours each employee is on furlough.
Businesses will have to cover 20% of furloughed workers wage costs plus National Insurance and pension contributions. The Government will pay 60% of wages up to a cap of £1,875.00 for the hours each employee is on furlough.
Planning your next move is a huge key in managing your work and cash flow successfully, and keeping your employees on board.
We are finding this next stage is proving to be quite problematic for our customers and local contacts. To help counter this, we are offering ad-hoc and flexible business support services which we will ensure meet your unique needs and can be adjusted as your business moves forward.
If you would like to have a chat about your next steps, please call us on 01440 821991 or get in touch on email@example.com
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