Furloughing Your Employees
To try and combat some of the issues which businesses are already facing, or may face in the future, the Government is releasing measures to be put in place to support businesses throughout this period of disruption caused by COVID-19.
The Government has announced that all UK businesses will be eligible to access the Coronavirus Job Retention Scheme, which will provide support for furloughed workers. Whilst there are still some unknowns, daily developments and an uncertainty in how long COVID-19 is going to be impacting us, we will ensure that all guidance is up to date and in-line with the most recent communications.
What is a furloughed worker?
The government are currently describing a furloughed worker as an employee who is kept on their employers’ payroll but does not carry out any work for them.
Key facts about furloughed workers include:
- HMRC will reimburse 80% of furloughed workers wage costs, up to a cap of £2,500 per month (the definition of wage costs is waiting for further guidance)
- Furloughed worker should not undertake any work whilst they are furloughed
- In some circumstances it will be backdated to 1st March 2020 ...
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