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HR Blog

Furlough Scheme extended through November

Posted by admin on 2020-11-03 13:31:45

Boris Johnson announced on Saturday (31 October) the new lockdown restrictions coming into force in England from 5th November. 

He also included in his announcement that The Coronavirus Job Retention Scheme (CJRS), known as the Furlough scheme, has been extended for a month, with employees receiving 80% of their current salary for hours not worked, up to a maximum of £2,500.  

I understand the Government has now confirmed the furlough scheme will be extended for all nations in the UK, even though they are subject to different lockdown rules than those announced for England.

Employers will have the same flexibility to bring furloughed employees back to work on a part time basis or furlough them full-time as before and will only be asked to cover National Insurance and employer pension contributions.

As a result, under the extended scheme, the cost for employers of retaining workers will be more generous for employers than it was in October. 

The Job Support Scheme, which was due to start today (Sunday 1st November), has been postponed until the furlough scheme ends.

This has caused some concern in the devolved nations that the UK government is extending the Furlough scheme after the Treasury refused such requests from Scotland and Wales in recent weeks. It appears the scheme will only be available to the devolved nations for the duration of an English lockdown and not when the other nations need it. I am sure there will be more to come on this in the days ahead.

I don’t have much more information and I’m expecting additional guidance will be set out shortly by the Government and following ongoing discussions between the devolved nations and the UK government.

If you have any questions please get in touch.