Furlough Update

Written by Kevin Murphy
28 July, 2020

Coronavirus Help | General Guidance • July 28, 2020

Furlough Update

Written by Kevin Murphy

The Coronavirus Job Retention Scheme (Furlough) is due to change.

As of 1 August 2020 the contribution to be made by both the Government and the employer will change and will continue to do so each month until Furlough ends on 31 October 2020.

The employee must continue to receive 80% of their pay capped at £2,500, but, the contributions will change as detailed below :-

1 August 2020

Employers must start to pay pension and Employers National Insurance contributions, the Government will no longer funds these contributions. The Government will continue to pay 80% of wages capped at £2,500 for anyone on Furlough.

1 September 2020

The Government will reduce their contribution to wages to 70%, the employer must continue to pay 80% capped at £2,500.

1 October 2020

The Government will reduce their contribution to wages to 60%, the employer must continue to pay 80% capped at £2,500.

1 November 2020

Furlough will have ended and employees should be either back at work, laid off (find our more here) or the employment safely terminated – please contact us to make sure that you stay safe.

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