Furlough Scheme Extended

The Chancellor recently announced that the Government’s furlough scheme would be extended for a further four months, offering support to businesses and workers until 31 October 2020. The scheme has already benefitted over 7.5 million workers and 1 million businesses. Furloughed workers will continue to receive up to 80% of their salary (up to a total of £2,500). 

The furlough scheme sets out that workers cannot carry out work whilst on furlough (although they can partake in training). However, from 1st August 2020, in an attempt to aid the economy and encourage employees to return to work, the Government have amended the scheme to allow workers to return to work on a part time basis whilst still receiving some salary protection under the furlough scheme. At this stage employers will be asked to pay part of the employee’s salary. This will ensure furloughed staff continue to receive at least 80% of their salary. The discretion remains with the employer as to whether to top up the salary to 100%. 

We still await further specifics as to how the scheme will continue to work, particularly in relation to those who will return to work part time in August however, we continue to keep abreast of developments. 

Should you need any employment related advice during this period in relation to furlough, redundancies or other matters, please do not hesitate to contact us. 

The contents of this article do not constitute legal advice and are provided for general information purposes only.