Reminder: Changes To Furlough Scheme Next Month
Todays Wills and Probate
21 August 2020
The Coronavirus Job Retention Scheme also known as the furlough scheme will be changing from 1 September 2020
From next month the scheme will only pay 70% of an employees wage, up to a maximum of £2,187.50 per month for the hours they don’t work.
Employers will need to pay the 10% top up to ensure furloughed employees are still receiving 80% of their usual wages. This is capped up to £2,500 per month.
The caps are proportional to the hours not worked. For example, if your employee is furloughed for half their usual hours in September, you are entitled to claim 70% of their usual wages for the hours they do not work up to £1,093.75 (50% of the £2,187.50 cap).
You will continue to have to pay furloughed employees’ National Insurance (NI) and pension contributions from your own funds.
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