Job Support Scheme
The Coronavirus Job Retention Scheme (CJRS) runs until 31 October 2020 and is then replaced by the Job Support Scheme. From 1 August employers could no longer claim back Employers National Insurance and Employer Pension Contributions paid for furloughed employees. From the 1 September employers could only claim 70% of usual wages capped at £2,187.50 per month per employee. The next change happens on 1 October.
From 1 October CJRS will pay 60% of usual wages up to a cap of £1,875 per month for the hours furloughed employees do not work.
Employers will still be required to pay furloughed employees at least 80% of their usual wages for the hours they do not work, up to a cap of £2,500 per month. Employers will therefore incur the difference in the cost between the 60% being claimed and the amount being paid.
Employers will continue to have to pay furloughed employees’ Employers National Insurance and Employers Pension Contributions following the changes on 1 August.
Important Dates:
1 October – the grant will cover 60% (capped at £1,875) of furloughed employees gross wages, down from 70% in September (capped at £2,187.50).
31 October – the furlough scheme will close.
1 November – the furlough scheme is replaced by the Job Support Scheme (see our blog on the Job Support Scheme here)
UK Government guidance on the Coronavirus Job Retention Scheme can be found here.
Links
Our previous updates can be found on Facebook and LinkedIn or on our website blog.
A UK Government general COVID-19 support website can be found here. It contains guidance on all matters pertaining to the Coronavirus.
