UK Job Retention Scheme (JRS) FAQs

The Job Retention Scheme (JRS) is a temporary scheme designed to help employers whose operations have been severely affected by covid-19, to retain their employees and protect the UK economy. All employers are eligible to claim under the scheme and the government recognises different businesses will face different impacts. Further information can be found at here.


FAQs
What is furlough?

Furlough is ‘temporary leave’ that forms part of the UK Government’s Job Retention Scheme (JRS). This scheme is a temporary scheme designed to help employers whose operations have been severely affected by covid-19, to retain their employees and protect the UK economy. All employers are eligible to claim under the scheme if they choose to and the government recognises different businesses will face different impacts. Further information can be found at: https://www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme.

Who can apply for furlough?

All UK employers with a UK payroll can apply, including businesses, charities, recruitment agencies and public authorities, however no new employees can be added to the JRS after 1 July, and they must have previously been furloughed for at least 3 consecutive weeks taking place any time between 1 March 2020 and 30 June 2020.


Is furlough mandatory?

No, it is not mandatory. Whether to use this scheme is at the employer’s discretion, they can opt to use the JRS, lay off workers with no or reduced pay, or terminate the worker’s employment (redundancy).

How does furlough work?

Employers can apply for a grant to cover part of employees' regular wages for any time spent on furlough through the Coronavirus Job Retention Scheme, up to a monthly cap of £2,500. The monthly cap is reduced in proportion to hours actually worked.

Those on furlough will still be paid by their employers and pay taxes from your income. Work cannot be undertaken for the employer by employees while on furlough.

If you are employed or pay-rolled through an umbrella company you must also contact them with respect to the JRS, as you are not on our PAYE payroll and we cannot offer the scheme to you.

Further information can be found at: https://www.gov.uk/guidance/check-if-you-could-be-covered-by-the-coronavirus-job-retention-scheme

What do I need to do if I would like to furlough temporary workers?

If you are a customer of ours and you are planning to make any changes to your requirement for temporary workers, we would be grateful if you could contact us in advance so that we can work pro-actively with you on the options available and provide the necessary support to our impacted workers. No new employees can be added to the JRS after 1 July, and they must have previously been furloughed for at least 3 consecutive weeks taking place any time between 1 March 2020 and 30 June 2020.