Flexible furlough comes into force

By James McAllister

- Last updated on GMT

Flexible furlough Coronavirus Job Retention Scheme comes into force 1 July

Related tags: Government, Job Retention Scheme, Coronavirus

Changes to the Coronavirus Job Retention Scheme (JRS) come into effect today (1 July), allowing businesses to bring back furloughed employees part time if they wish to.

Employers will now be able to being back furloughed staff for 'any amount of time and on any shift pattern', and will be responsible for paying their wages while in work.

However, they will still be able to claim the under the JRS for the hours any flexibly furloughed employees do not work, compared to the hours they would normally have worked.

The intention is to ensure that all furloughed employees continue to receive 80% of their monthly wages under the scheme, up to a limit of £2,500.

As a result of the changes, the scheme is now closed to new entrants, and employers will only be able to claim for employees who have previously been furloughed for at least three consecutive weeks taking place any time between 1 March 2020 and 30 June. 

If employers are making a claim for flexibly furloughed employees, they will need to include details of the hours 'actually worked' for the claim period, as well as hours 'usually worked' for the same time period. 

To help employers work out what they can currently claim for under the JRS, a calculator is available here​ via the Gov.uk website 

It comes as the Government prepares to wind down the JRS permanently at the end of October, as was laid out by Chancellor Rishi Sunak back in May​. 

In August, the JRS will continue to allow employers to claim 80% of wages, but they will be asked to pay National Insurance and employee pension contributions.

From September, employers will also be required to pay 10% of an employee's wages; rising to 20% in October.

Related topics: Business & Legislation

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