Coronavirus Job Retention Scheme | Furlough part 2: June->October 2020

Rishi Sunak today pulls it out the bag again with details around the extension of the Coronavirus Job Retention Scheme (CJRS) – now called the ‘Furlough Scheme’, or ‘CJRS2’.

Here’s a month by month summary of what you need to know:

June 2020

• Wages:
  • The government will pay 80% of wages up to a cap of £2,500
• NIC:
  • The government will pay the employer NIC
• Pension:
  • The government will pay the employer pension contribution

July 2020

• Part time:
  • NEW:
  • Furloughed employees can return to work part time and still receive a grant for the time when they are not working.
  • Employers must pay their wages in full while working but can continue with paying 80% for the furloughed hours;
  • No minimum time that employees can be furloughed for (previously this was 3 weeks);
  • Any working hours must cover at least one week and be confirmed to the employee in writing;
• Wages:
  • The government will pay 80% of wages up to a cap of £2,500
• NIC:
  • The government will pay the employer NIC for the hours the employee doesn’t work
• Pension:
  • The government will pay the employer pension contribution for the hours the employee doesn’t work

August 2020

• Part time
  • Furloughed employees can continue to work part time and still receive a grant for the time when they are not working.
  • Employers must pay their wages in full while working but can continue with paying 80% for the furloughed hours;
  • No minimum time that employees can be furloughed for (previously this was 3 weeks);
  • Any working hours must cover at least one week and be confirmed to the employee in writing;
• Wages:
  • The government will pay 80% of wages up to a cap of £2,500
• NIC:
  • NEW: The Employer will pay the employer NIC
• Pension:
  • NEW: The Employer will pay the employer pension contribution

September 2020

• Part time
  • Furloughed employees can continue to work part time and still receive a grant for the time when they are not working.
  • Employers must pay their wages in full while working but can continue with paying 80% for the furloughed hours;
  • No minimum time that employees can be furloughed for (previously this was 3 weeks);
  • Any working hours must cover at least one week and be confirmed to the employee in writing;
• Wages:
  • NEW: The government will pay 70% of wages up to a cap of £2,187.50
  • NEW: The Employer will pay the lost 10% of wages up to a cap of £2,500
• NIC:
  • The Employer will pay the employer NIC
• Pension:
  • The Employer will pay the employer pension contribution

October 2020

• Part time
  • Furloughed employees can continue to work part time and still receive a grant for the time when they are not working.
  • Employers must pay their wages in full while working but can continue with paying 80% for the furloughed hours;
  • No minimum time that employees can be furloughed for (previously this was 3 weeks);
  • Any working hours must cover at least one week and be confirmed to the employee in writing;
• Wages:
  • NEW: The government will pay 60% of wages up to a cap of £1,875
  • NEW: The Employer will pay the lost 20% of wages up to a cap of £2,500
• NIC:
  • The Employer will pay the employer NIC
• Pension:
  • The Employer will pay the employer pension contribution