HMRC has added notes to its main CJRS guidance to explain how the scheme is to evolve. From 1 July, employers will be able to bring previously furloughed employees back to work for any amount of time or shift pattern, while still being able to claim under the scheme for any normal hours not worked. In practice, employees will be able to return to work on a part-time basis, with the employer paying their wages while they are in work and the furlough scheme continuing to cover any furloughed hours.
From August onwards, employers will be required to pay NICs and pension contributions. Government contributions to wages will also taper, as follows:
from 1 August, the government will continue to pay 80% of wages, capped at £2,500;
from 1 September, employers will pay 10% of wages and the government will pay 70%;
from 1 October, employers will pay 20% of wages and the government will pay 60%.
The CJRS will close to new entrants from 30 June 2020. From that point, employers will only be able to furlough employees they have furloughed for a full three-week period prior to 30 June (ie starting on 10 June). Further guidance on ‘flexible furloughing’ and how employers should calculate claims is expected to be published on 12 June 2020.
As at 31 May, HMRC reported that 8.7m jobs had been furloughed with a total of £17.5bn claimed.
HMRC has added notes to its main CJRS guidance to explain how the scheme is to evolve. From 1 July, employers will be able to bring previously furloughed employees back to work for any amount of time or shift pattern, while still being able to claim under the scheme for any normal hours not worked. In practice, employees will be able to return to work on a part-time basis, with the employer paying their wages while they are in work and the furlough scheme continuing to cover any furloughed hours.
From August onwards, employers will be required to pay NICs and pension contributions. Government contributions to wages will also taper, as follows:
from 1 August, the government will continue to pay 80% of wages, capped at £2,500;
from 1 September, employers will pay 10% of wages and the government will pay 70%;
from 1 October, employers will pay 20% of wages and the government will pay 60%.
The CJRS will close to new entrants from 30 June 2020. From that point, employers will only be able to furlough employees they have furloughed for a full three-week period prior to 30 June (ie starting on 10 June). Further guidance on ‘flexible furloughing’ and how employers should calculate claims is expected to be published on 12 June 2020.
As at 31 May, HMRC reported that 8.7m jobs had been furloughed with a total of £17.5bn claimed.
