On Friday 29th May, the Coronavirus Job Retention Scheme (“Scheme”) was amended again. Please see below a summary of the main points of the latest updates to the Scheme.

• 10th June: Employers will only be able to claim under the Scheme for employees who have been placed on furlough by 10th June. The number of employees cannot exceed the number of employees already claimed for previously by this date from the Scheme, so an employer cannot add new employees to the Scheme from 10th June.
• 1st July – Flexible furlough: Furlough leave will become flexible to give the option for employers to bring employees back part time from 1st July. Employers will decide the hours and shift patterns that their employees will work on their return, so that they can decide on the best approach for them. Employers will pay in full for days worked and can claim under the Scheme for days not worked, subject to the relevant caps.
• Claims up to 30th June will be considered as the old Scheme (“Old Scheme”) and from 1st July to 31st October this will be considered as the new Scheme (“New Scheme”). Pursuant to the New Scheme, employers must only claim for a single month’s pay and not overlap months; this is because different months will have different payment structures (see below).
• 31st July: Employers must submit final claims for the claim period of the Old Scheme (claims up to 30th June).
• 1st August – NICs and Pension payable by: Employers will have to pay just employer National Insurance contributions together with pension contributions for furlough pay. The Government shall pay 80% of furlough pay.
• 1st September – 10% payable by employer: Employers will have to pay 10% of furlough pay, employer National Insurance contributions together with pension contributions. The Government shall pay 70% of furlough pay.
• 1st October - 20% payable by employer: Employers will have to pay 20% of furlough pay, employer National Insurance contributions together with pension contributions. The Government shall pay 60% of furlough pay.
• 31st October: the Scheme shall close and employers will have to pay 100% of wages, employer National Insurance contributions together with pension contributions from 1st November.

If you would like to discuss how to manage the return of your workforce from furlough leave, or in the worst case scenario, deal with redundancies, please do contact us on 01484 821415 and lewisholroyd@eatonsmith.co.uk.