The Coronavirus Job Retention Scheme (the Scheme) allows UK employers who cannot maintain their current workforce because their operations have been severely affect by coronavirus to “furlough” employees and access financial support to cover some of the furloughed employees’ wage costs during the crisis. This allows employers, who may be facing financial difficulty due to the uncertainty of the present climate, to take temporary measures to avoid redundancies where possible.
Employers should note that the latest date on which a new entrant to the Scheme can be furloughed is 10 June 2020, in order for there to be a 3 week minimum furlough period prior to 30 June.
Details of the Scheme and how it is changing after 30 June 2020 may be found on the link below. Changes include the ability to have a flexible furlough where some work is done.
Further government guidance on how the Scheme will change after 30 June is expected on 12 June.
The Scheme will close to new entrants from 30 June. After that, employers will only be able to furlough employees who have previously been furloughed for a minimum of 3 weeks prior to 30 June.The latest that a new entrant to the Scheme can be furloughed is 10 June 2020 (in order for the 3 week furlough period to be completed).Claims under the Scheme for the period to 30 June must be made by 31 July.