Wednesday 2nd September 2020
A reminder that from 1 September 2020, employers begin contributing to the wages payable to employees furloughed under the CJRS, in addition to paying the employer’s NIC and pension contributions. Wage costs are apportioned under the CJRS as follows:
- August 80% (max £2,500)
- September 70% (max £2,187.50)
- October 60% (max £1,875)
- August 0%
- September 10% (max £312.50)
- October 20% (max £625)
The caps are proportional to furloughed hours.
The CJRS is due to end on 31 October 2020 and an employer who then retains furloughed staff in meaningful employment until at least 31 January 2021, can claim a one-time Job Retention Bonus from the Government of £1,000 per eligible employee.
More information will be published in September, but initial details and the eligibility criteria can be viewed here:
All information in this update is intended for general guidance only and is not intended to be comprehensive, or to provide legal advice.