Published on: 16 June 2020
Flexible furloughing? New guidance to help calculate your claim
The UK Government has updated its guidance on the Coronavirus Job Retention Scheme.
The new guidance outlines the changes to the scheme which will take effect over the next few months:
- There are no changes to grant levels in June
- For June and July, the UK Government will pay 80% of wages up to a cap of £2,500 for the hours the employee is on furlough, as well as employer National Insurance Contributions (ER NICS) and pension contributions for the hours the employee is on furlough. Employers will have to pay employees for the hours they work
- For August, the UK Government will pay 80% of wages up to a cap of £2,500 for the hours an employee is on furlough and employers will pay ER NICs and pension contributions for the hours the employee is on furlough
- For September, the UK Government will pay 70% of wages up to a cap of £2,187.50 for the hours the employee is on furlough. Employers will pay ER NICs and pension contributions and top up employees’ wages to ensure they receive 80% of their wages up to a cap of £2,500, for time they are furloughed
- For October, the UK Government will pay 60% of wages up to a cap of £1,875 for the hours the employee is on furlough. Employers will pay ER NICs and pension contributions and top up employees’ wages to ensure they receive 80% of their wages up to a cap of £2,500, for time they are furloughed.
British Marine would encourage its members with furloughed staff to familiarise themselves with these changes. Our members can also find examples on GOV.UK to help you calculate your claim.
For members wishing to stay up-to-date with the latest developments on COVID-19, please visit our dedicated Coronavirus Hub.