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Coronavirus

Coronavirus Job Retention Scheme – Advice for Employers

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Key points include:

  • Furloughed workers should not undertake any work for the company, including answering calls or emails
  • JRS should not interrupt an employees’ continuity of service
  •  Annual leave will continue to accrue
  • Grants should be structured so no PAYE tax or national insurance contributions are due
  • The grant is a reimbursement by HMRC so businesses may face cash flow issues
  • Changing the status of employees remains subject to existing employment law and may be subject to negotiation

 The terms

 The Job Retention Scheme is a huge incentive for companies to keep employees on payroll. To access the support companies need to classify employees as a furloughed worker, which means they should not undertake any work for the company while furloughed, including answering calls or emails.

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