June Furlough Update

The Coronavirus Job Retention Scheme (CJRS) is a rapidly changing system put in place by the government to protect employees from redundancy. We have summarised the changes that will be implemented over the following months in this update below.

Furlough update June 2020

June 10th 2020

The last day that employers could place employees on furlough.

July 1st 2020

Flexible furlough is permitted. Employees will be able to work part-time and be furloughed part-time. Businesses will decide how that time will be split and must agree in writing.

August 1st 2020

Employers will have to pay employee's national insurance contributions and pension contributions and can no longer reclaim them through the CJRS.

Self-Employment

The self-employed grant will be extended; applications open in August for a second and final grant. There will be unity with the narrowing furlough scheme, paying 70% (not 80%) of average earnings up to £6,750.

September 1st 2020

The CJRS will only reimburse 70% of salary (up to £2,190 per month). Employers will have to top-up the salary to 80% or more, depending on what they have agreed with the employee.

October 1st 2020

The CJRS will only reimburse 60% of salary (up to £1,875per month), and employers will continue having to top up to 80% or more.

October 31st 2020

The furlough scheme will close.

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