Job Retention Bonus – Details Announced

  • Posted

The Chancellor has set out details of the Job Retention Bonus to be paid out to employers next year. It is for employers who have furloughed workers and retained them in employment until 31 January 2021.

Therefore if an employer has had workers on furlough leave at some point and they remain employed at the above date (and not under notice), it will qualify for the bonus.

HMRC will make a payment of £1,000 to the employer for each eligible employee. This is a bonus to the employer, and the employer is not required to pass it over to the employee.

The bonus is the same amount for each employee irrespective of their actual wages. To receive the bonus, the employer must have paid a salary of at least £1,560 to the employee between 6 November 2020 and 5 February 2021.

Employers need to claim for the bonus between 15 February and 31 March 2021. It remains to be seen whether this in conjunction with the Job Support Scheme will be sufficient for employers to avoid making redundancies.

There is government guidance and a Treasury Direction available dealing with this bonus.

We Can Help You

If you would like any more information, please get in touch with our specialist Employment Law team through this website or by calling 0330 404 0778.

For all of our COVID-19 (Coronavirus) advice, please visit http://www.ashtonslegal.co.uk/coronavirus/

Our partners at Ashtons HR Consulting are also on hand to assist you.


This information is correct at 10am on 6 October 2020.


    Close

    How can we help you?

    Please fill in the form and we’ll get back to you as soon as possible or to speak to one of our experts call
    0330 404 0749





    I accept that my data will be held for the purpose of my enquiry in accordance with Ashtons
    Privacy Policy

    This site is protected by reCAPTCHA and the Google
    Privacy Policy
    and
    Terms of Service
    apply.

    How can we help?

    If you have an enquiry or you would like to find out more about our services, why not contact us?