Businesses across the UK are expecting major changes to the Coronavirus Job Retention Scheme (CJRS) this month, but at the same time, we're all unsure how they will impact us ...
So, what are the changes to CJRS that are coming? And how much will you be able to claim from the Government? And what about changes in October? When will it end?
For a lot of employers, the easing of lockdown in August meant the start of post-coronavirus recovery. But with the changes coming, this means that recovery may come in fits and starts, or may even stall depending on your sector.
It came into effect on the 20th March 2020 and has helped 1.16 million employers furlough some, or maybe all, of their employees. It paid 80% of an employees wage, capped at £2,500 per employee, per month.
In August, employers had to start to pay the employees National Insurance contributions as well as the employer's pension contributions. From September, the Government will only contribute 70% of a furloughed employee's wage with a decreased cap of £2,187.50. This reduces further the following month.
So, be sure you do your calculations and claims correctly and ensure your furloughed employees receive the right amounts and that you make the right contibutions according to the Government's CJRS guidelines.
If you feel inspired to find out more about anything I've said here, do call me on 01908 774320 or leave a comment below and I'll be in touch as soon as I can.