Job Retention Scheme (Furlough) Extended to October 2020

15th May 2020

On 12 May 2020 The Chancellor announced that the Coronavirus Job Retention Scheme (‘‘CRJS’’) will be extended to 31 October 2020. This will provide additional support to those businesses and employees impacted by the outbreak.

Employers in the UK can continue to claim a grant from HMRC to cover the wages for a furloughed employee, equal to the lower of 80% of an employee’s regular salary or £2,500 per month, plus the associated employer national insurance contributions and minimum automatic enrolment employer pension contributions on paying those wages up to 31 July 2020.

There will be changes to the arrangements of the CRJS with effect from 1 August 2020 to 31 October 2020 to encourage the return to work for furloughed employees on a part-time basis. Employers will be asked to contribute toward the salary of a furloughed employee. Further details on these changes to the arrangements of the CRJS will be clarified in due course and we will continue to provide you with updates as soon as we know more.

Stay in touch with all the latest announcements on the Job Retention Scheme and other support provided by the Government by visiting our dedicated Covid-19 page here

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