Key Date - 10th June 2020
Following the Governments update for the furlough scheme on Friday, a key date has been updated, the 10th June 2020.
Its important to note the furlough scheme will close to new entrants from the 30th June 2020. From this date onwards, employers will only be able to furlough employees that they have furloughed for a full 3 week period prior to 30th June 2020.
This means that the final date by which an employer can furlough an employee for the first time will be 10th June 2020, in order for the current 3 week furlough period to be completed by the 30th June.
Employers will have until 31st July 2020 to make any claims in respect of the period to the 30th June.
Part Time Furloughing
From 1st July 2020, employers using the scheme will have the flexibility to bring previously furloughed employees back to work part time – with the government continuing to pay 80% of wages for any of their normal hours they do not work up until the end of August. This flexibility comes a month earlier than previously announced to help people get back to work.
Employers will decide the hours and shift patterns their employees will work on their return and will be responsible for paying their wages in full while working. This means that employees can work as much or as little as the business needs, with no minimum time that they can furlough staff for.
Any working hours arrangement agreed between a business and their employee must cover at least one week and be confirmed to the employee in writing. When claiming the CJRS grant for furloughed hours, employers will need to report and claim for a minimum period of a week. They can choose to make claims for longer periods such as on monthly or two weekly cycles if preferred. Employers will be required to submit data on the usual hours an employee would be expected to work in a claim period and actual hours worked.
If employees are unable to return to work, or employers do not have work for them to do, they can remain on furlough and the employer can continue to claim the grant for their full hours under the existing rules.