Tuesday, 17 November 2020

Furlough Scheme update

Just when we all thought the Government had finalized the changes last week to the Coronavirus Job Retention Scheme (“CJRS”) – furlough - they decided last Friday night to make further changes.  It certainly feels like ground hog day as that is what they did back in the Spring and they made weekly changes every Friday night! 
The main points of the changes are: 
  • The scheme will run from 1 November 2020 to 31 March 2021.  However, the details are only provided up to 31 January 2021 and it will be announced at a later date how February and March will be covered. 
  • It is now a condition of making a claim that the employer accepts that HMRC will publish information about CJRS claims on the internet. This includes the name of the employer and a “reasonable indication” of the amount claimed. An exception may be made for employers who can show that publication would expose their workforce to “serious risk of violence or intimidation”. 
  • If you are planning on placing any employees on furlough, you need to have a furlough agreement in place before they are furloughed.  If they were previously furloughed, you can update the earlier agreement.  
  • Claims may not be made for any day that an employee is serving notice if their employment is coming to an end between 1 December 2020 and 31 January 2021.  Previously you could keep the employee on furlough during the notice period which meant the employer could recover some of the costs through furlough for the notice period, as the employee was still employed by the company.  You cannot do this from 1 December 2020.

If you need any advice on furlough, returning to work safely, making changes to employees working hours, redundancies or other employment issues please contact us on 01245 261883