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Job Retention Scheme Extended

Chancellor announces further Job Retention measures. On 5th November, Chancellor Rishi Sunak announced that the furlough scheme (also known as the Coronavirus Job Retention Scheme (CJRS)) will be extended until 31st March 2021.

This scheme will operate as follows: 

  • Employees and workers on PAYE payroll on 30th October will qualify

  • 80% of wages for non-worked hours will be reimbursed up to a £2,500 cap. Employers must pay NICs and pension contributions. Reimbursement rate to be reviewed in January 2021.

  • Flexible furlough is permitted

  • Not limited to workers who have previously been furloughed

Further details, including how to calculate furlough pay for individuals who have not previously been furloughed, and how to claim through the updated claims service, have yet to be published by government. Businesses affected by the Coronavirus restrictions should use the furlough scheme. The Job Support Scheme, which was scheduled to come in on Sunday 1st November, has been postponed until the furlough scheme ends. The Chancellor also announced that the Job Retention Bonus, due to be paid in February, will not now proceed. when.

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