On Friday the 12th June, the Government (very quietly) confirmed the updated guidelines for the Job Retention Scheme that will be effective from the 1st July- now known as the Flexible Furlough Scheme (we had to laugh at the acronym).
Some key information has been officially confirmed:
From the 1st July, employers are able to bring back any workers for any number of hours and in any shift pattern while claiming the JRS grant for any ‘usual hours’ not worked.
80% of salaries will continue to be covered throughout July and the usual wage cap of £2,500 will be kept proportional to the hours an employee is working- for example, if they are on furlough for 40% of their usual hours then they are entitled to 40% of the wage cap.
In nutshell; the employer will be responsible for paying full salary for hours worked. For usual hours not worked, employers can continue to claim 80% of the salary (up to a proportional cap as explained above) through the scheme.
With the introduction of part-time furlough comes a more complicated claims process, details of which can be read here. Things will be simpler for salaried staff but some more calculations will be required for those with variable hours. Once you’ve started your online claim you can save all information as a draft but must complete and submit the claim within 7 days so do make sure you have all the information you need to hand.
It’s also worth noting some key dates:
- Claims for July can only be made from the 1st July onwards and not in advance
- Claims for periods ending on or before the 30th June must be submitted by the 31st July
- The update reiterates that the JRS will come to a close on the 31st October
Monthly updates involving a steady decrease in the percentage the grant covers are expected from August onwards- details are currently hazy at best but we will keep you updated as and when any updates become clear.