On 6 May, The Guardian reported that the government was preparing to ‘wind down’ the coronavirus job retention scheme (CJRS) from July, alongside a programme to gradually lift restrictions on business activities. Potential options could include cutting the 80% wage subsidy to 60% and reducing the monthly payments cap, or allowing employees to return to work in some capacity, reports the paper. With the scheme currently due to close at the end of June, some employers will once again have the minimum 45-day statutory redundancy consultation period (for 100 or more redundancies) in mind as they approach mid-May, putting pressure on the Government to announce further plans for the scheme.
while on furlough, employees who are union or non-union representatives may undertake duties and activities for the purpose of individual or collective representation of employees or other workers;
company directors who are paid annually are eligible under the scheme so long as they meet the relevant conditions;
the revised eligibility date of 28 February 2020 where there has been an employee transfer under TUPE, will ensure claims can be made under the scheme for employees who transferred to a new employer between 28 February and 19 March;
where a group of companies has multiple PAYE schemes and there is a transfer of all employees from these schemes into a new consolidated PAYE scheme after 28 February 2020 (formerly 19 March 2020), the new scheme will be eligible to furlough those employees under the CJRS.
It should be noted, however, that the Treasury Direction for the CJRS has not yet been amended and provides the relevant date for the TUPE and PAYE scheme points above as 19 March.
Corresponding changes have been made to the main employee guidance, with further information provided on statutory leave and statutory payments made to employees and their interaction with the CJRS.
HMRC’s guidance on how to use the CJRS calculator (to work out 80% of employees’ wages) has been updated to confirm that the calculator can be used for employees who are paid variable amounts, but not for those who are paid annually.
On 6 May, The Guardian reported that the government was preparing to ‘wind down’ the coronavirus job retention scheme (CJRS) from July, alongside a programme to gradually lift restrictions on business activities. Potential options could include cutting the 80% wage subsidy to 60% and reducing the monthly payments cap, or allowing employees to return to work in some capacity, reports the paper. With the scheme currently due to close at the end of June, some employers will once again have the minimum 45-day statutory redundancy consultation period (for 100 or more redundancies) in mind as they approach mid-May, putting pressure on the Government to announce further plans for the scheme.
while on furlough, employees who are union or non-union representatives may undertake duties and activities for the purpose of individual or collective representation of employees or other workers;
company directors who are paid annually are eligible under the scheme so long as they meet the relevant conditions;
the revised eligibility date of 28 February 2020 where there has been an employee transfer under TUPE, will ensure claims can be made under the scheme for employees who transferred to a new employer between 28 February and 19 March;
where a group of companies has multiple PAYE schemes and there is a transfer of all employees from these schemes into a new consolidated PAYE scheme after 28 February 2020 (formerly 19 March 2020), the new scheme will be eligible to furlough those employees under the CJRS.
It should be noted, however, that the Treasury Direction for the CJRS has not yet been amended and provides the relevant date for the TUPE and PAYE scheme points above as 19 March.
Corresponding changes have been made to the main employee guidance, with further information provided on statutory leave and statutory payments made to employees and their interaction with the CJRS.
HMRC’s guidance on how to use the CJRS calculator (to work out 80% of employees’ wages) has been updated to confirm that the calculator can be used for employees who are paid variable amounts, but not for those who are paid annually.
