COVID-19 Update – 15 June – Coronavirus Job Retention Scheme – Flexible Furlough Scheme

The government has now published the guidance on flexible furlough scheme (FFS)

Under the flexible furlough scheme, employees no longer need to avoid doing any work for the employer but can work for some of the week and be furloughed for the rest, in proportions decided between the employee and employer.

To be eligible for flexible furlough, employees must have had 3 weeks of furlough leave prior to 30 June 2020, so must have been put on furlough on or prior to 10 June 2020.

There is no minimum three-week period for furlough as of 1 July 2020.

For those who are part-furloughed, the guidance is complex. Please click here for working examples you may find helpful.

Here is a summary of changes to government contributions, required employer contributions and the amount the employee receives for employees 100% furloughed:

	July	August	September	October
Government contribution: employer NICs and pension contributions	Yes	No	No	No
Government contribution: wages	80% up to £2,500	80% up to £2,500	70% up to £2,187.50	60% up to £1,875
Employer contribution: employer NICs & pension contributions	No	Yes	Yes	Yes
Employer contributions wages	–	–	10% up to £312.50	20% up to £625
Employee receives	80% up to £2,500 per month	80% up to £2,500 per month	80% up to £2,500 per month	80% up to £2,500 per month

 

Record keeping

The record-keeping requirements are broadly the same as before, just updated to reflect flexible working. Therefore you should keep, for 6 years, records of:

• The amount claimed and the claim period for each employee;
• The claim reference number;
• Your calculation of the figures claimed;
• Usual working hours;
• Actual working hours for employees flexibly furloughed.
• The government has also updated its guidance documents on the furlough scheme. Links to the various documents can be found here:

Check if you can claim for your employees’ wages

Check which employees you can put on furlough

Steps to take before calculating your claim

Calculate how much you can claim

Examples to help you calculate your employees’ wages

If you would like to discuss anything relating to flexible furlough please contact a member of the team.

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