The Government has today published guidance for businesses and workers on how to access the Coronavirus Job Retention Scheme.
Under the Coronavirus Job Retention Scheme, all UK employers with a PAYE scheme will be able to access support to continue paying part of their employees’ salary for those that would otherwise have been laid off during this crisis.
This applies to employees who have been asked to stop working, but who are being kept on the pay roll, otherwise described as ‘furloughed workers’. HMRC will reimburse 80% of their wages, up to £2,500 per month. This is to safeguard workers from being made redundant. The Coronavirus Job Retention Scheme will cover the cost of wages backdated to 1 March and is initially open for 3 months, but will be extended if necessary.
Guidance for Employers
Employers will be able to use a portal to claim for 80% of furloughed employees’ (employees on a leave of absence) monthly wage costs, up to £2,500 a month, plus the associated Employer National Insurance contributions and minimum automatic enrollment employer pension contributions on that wage. We expect the scheme to be up and running by the end of April.
Please use the following link to access the guidance:
www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme
Guidance for Employees
The guidance published today will support workers understand whether they are eligible for the scheme, and how much the employer can claim if they are unable to operate or if there is no work due to coronavirus (COVID 19).
Please use the following link to access the guidance:
www.gov.uk/guidance/check-if-you-could-be-covered-by-the-coronavirus-job-retention-scheme
The Somerset Chamber of Commerce have set up a COVID-19 hub, where all information regarding the latest Government announcements and support for businesses can be found.
