📢📢📢 Update 📢 📢📢 Changes to the Covid Job Retention Scheme – otherwise known as the furlough scheme came into effect today the 1st July 2021.
From today the level of the grant will be reduced and employers will be asked to contribute towards the cost of their furloughed employees’ wages. To be eligible for the grant employers must continue to pay furloughed employees 80 per cent of their wages, up to a cap of £2,500 per month for the time they spend on furlough.
The key points of the changes coming into effect today are:
✅ Government 🏢 will pay 70% of wages, up to a cap of £2,187.50 per employee.
Employers 👩💼 will pay :
💷 ER NICS and pension contribution
💷 PLUS 10% of the wages (for hours not worked) up to £312.50 of per employee.
Employees 👩 will receive 80% of salary for hours not worked up to a cap of £2,500 per month.
REMEMBER it is important that any changes to the furlough is agreed in writing as it can be seen as change to terms and conditions of employment. We always recommend in such cases these changes are put in writing and agreed by both the employer and the employee.
If you need help with any of this, please get in touch .
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