We are now getting closer to the end of the Flexible Furlough Scheme, but there are still more changes on the horizon. From 1 September 2020, employers will only be able to claim 70% of salary (up to a maximum of £2,190.00) and will be required to pay employer’s National Insurance Contributions and Pension contributions and top up wages to 80% (dependant on the agreement between employer and employee). For the average claim, this represents 14% of the gross employment costs the employer would have incurred had the employee not been furloughed.
Are you fully complying with the flexible furlough rules and ensuring that your employees are not working whilst they are on furlough? A recent report claims that there has been approximately 6 million people working whilst their employer was claiming furlough from HMRC. This is extremely serious and could land employers in costly hot water!
Please get in touch with our Employment Law Solicitors for our robust legal advice to ensure legal compliance. Our HR Consultants are also available for a more hands on approach and support.
