Please read below the Coronavirus Job Retention Scheme changes:
The House of Commons has published a briefing paper, ’FAQs: Coronavirus Job Retention Scheme’ which answers 48 common questions on how the scheme works, who is eligible, how to deal with different circumstances and the employment law aspects of furloughing employees.
The Coronavirus Job Retention Scheme (CJRS) was announced on 20 March 2020, initially for three months but it has since been extended to 31 October, with changes to how the scheme works being introduced from 1 July.
The first time you will be able to make claims for days in July will be 1 July, you cannot claim for periods in July before this point.
31 July is the last day that you can submit claims for periods ending on or before 30 June.
Please find a monthly breakdown below:
– June: there are no changes to grant levels.
– June and July: the government will pay 80% of wages up to a cap of £2,500 for the hours the employee is on furlough, as well as employer National Insurance Contributions (ER NICS) and pension contributions for the hours the employee is on furlough. Employers will have to pay employees for the hours they work
– August: the government will pay 80% of wages up to a cap of £2,500 for the hours an employee is on furlough and employers will pay ER NICs and pension contributions for the hours the employee is on furlough.
– September: the government will pay 70% of wages up to a cap of £2,187.50 for the hours the employee is on furlough. Employers will pay ER NICs and pension contributions and top up employees’ wages to ensure they receive 80% of their wages up to a cap of £2,500, for time they are furloughed.
– October: the government will pay 60% of wages up to a cap of £1,875 for the hours the employee is on furlough. Employers will pay ER NICs and pension contributions and top up employees’ wages to ensure they receive 80% of their wages up to a cap of £2,500, for time they are furloughed.
Gov.uk have issued a timetable of the changes, which can be found here.If you need anymore information, please do not hesitate to get in touch.
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