Furlough Scheme Extension at 80% Pay
The Coronavirus Job Retention Scheme (CJRS) Furlough Extension
Furlough scheme extended until December: On 22 October the Chancellor announced that the CJRS furlough scheme would end on 31 October 2020, to be replaced by a new Job Support Scheme (JSS). However, at 6.45 pm on 31 October 2020 when the Prime Minister announced a month long lockdown for England, he announced that the CJRS furlough scheme would be extended for one further month. This means the CJRS has now been extended until December.
Furlough Scheme Extended until December
Furlough Scheme extended until December: The grant will allow employers to be able to claim 80% of employees’ usual pay for hours that they are unable to work. Businesses will have flexibility to bring furloughed employees back to work on a part time basis or furlough them full-time. Employers will be asked to cover National Insurance and employer pension contributions. As with the existing CJRS, employers are still able to choose to top up employee wages above the scheme grant at their own expense if they wish.
More Information on the CJRS Scheme
Job Support Scheme (JSS)
The JSS scheme that replaces CJRS was originally announced in September. The scheme was originally scheduled to commence on 1 November 2020 but will now commence when the extended CJRS scheme ends and will run until the end of April 2021.
Details of JSS
It has been made more generous than in the original announcement to support businesses that are legally forced to close their premises as a direct result of Coronavirus. This is referred to as JSS Closed. For those employers that are able to operate safely but continue to face reduced demand such that they may need extra support over the winter to help keep their employees attached to their workforce, there is JSS Open.
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