Furlough Phase 2

Updates on the Job Retention Scheme…

The chancellor outlined on Friday 29th May the changes to the scheme with effect from 1st July 2020.

So if you have not put an employee on furlough previously, you should do so by 10th June in order to take advantage of these measures.  So for example if one of your team is on maternity leave and has not been on furlough, you should look at changing that status through consultation with that person.  If they have been on furlough and been active more recently, it should be OK as they were previously registered as on furlough.

The flexible furlough scheme gives you more options so you can decide what is best for your business.

 Here Are Some Good Practical Steps You Can Take Now:
  • Work out your business case – what different cash flow scenarios are possible given that you now know how much assistance you will receive up to and including October, this should help to inform what staff you will need, when and how often.
  • Build a staffing plan to allow you to deliver services, meet sales or work plans
  • Communicate a business update and broad plan that sets out your route map for getting back to work and helps employees to understand how they fit in to the business
  • Talk to staff individually to understand their personal circumstances and whether they have responsibilities and concerns that need to be taken into consideration – understand how they best contribute and what furlough arrangements works.
  • Think about how you could use the 1 week minimum furlough period to create shifts or rotas; how changing furlough arrangements may help with project work and how to balance working at home and working in the workplace could assist in creating a safer working environment
  • These steps will help to reintroduce employees to the work place and re-establish your business
  • Remember to keep records as you will need to inform HMRC of hours worked versus hours claimed
  • Make some decisions and communicate those – if you are changing furlough these need to be confirmed in writing.
In Your Letter it’s a Good Idea to Include the Following Information:
  1. Date Furlough Leave Commenced & Will End (it must be for a minimum of 3 weeks)
  2. How Much the Furloughed Worker Will be Paid e.g. 80% of their normal contractual pay up to a maximum of £2500 per month by the Job Retention Scheme or topped up to 100% by the Company if applicable
  3. When the Furlough Leave Will be Reviewed
  4. How to Keep in Contact During Furlough
  5. That the Individual May Be Required to Undertake Training During Furlough, but Not Paid Work
  6. Details Around Annual Leave e.g. reduced to statutory amount instead of enhanced and booked holidays should be taken as normal during this period (or deferred), if applicable.

In the webinar we also covered the Test, Trace and Protect measures that are to be put in place and may affect your business.  This will depend on your sick pay policy and whether there is enhanced contractual sick pay.  Our view is that it is better to be thinking about this and communicating your policy ahead of having to make these decisions.  It will also inform your teams expectations.

Contact Us for Advice & Support

There is much to think about as we navigate our way out of lockdown and take steps to get back to work.  If you need help to work your way through the maze do contact one of the HR Account Management Team or give us a ring on 0131 225 7458.  We have just updated our telephone system and can accept calls on our laptops!!

Missed the Webinar?

All our Webinar’s are recorded so that you can catch up! Click the link to have a listen!

Join Us Next Week

Join us in our Webinar next Thursday where we will be in conversation with Marianne McJannett of TC Young in our next Employment Q&A Webinar. As always, feel free to send your questions in advance by emailing celine@gravitatehr.co.uk

Date: Thursday 11th June 2020

Time: 12.30-1pm

This is a continually changing landscape and we aim to be as responsive as we can to keep you up to date.

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