Job Support Scheme – Update 22 October 2020
Further to the Job Support Scheme (JSS) being announced on 24 September 2020, we are pleased to confirm that it has been announced today (22 October 2020) that the Government will be increasing its contribution to employers’ wage costs under the JSS.
Employers will be expected to pay 5% of the cost of unworked hours as opposed to the 33% originally announced.
The JSS, which opens after half term on 1 November 2020, originally required employers to pay 33% of their employees’ wages for hours not worked, and required employees to be working 33% of their normal hours. This has today changed and reduced the employer contribution to those unworked hours to 5% and reduces the minimum hours requirement to 20%. This means that employees working just one day a week will be eligible.
This is good news for employers and employees as it now provides a much more generous scheme and recognises some of the pressures businesses in some sectors are facing. Please note that the scheme for businesses legally required to close remains unchanged.
For more information, the press release can be found: https://www.gov.uk/government/news/plan-for-jobs-chancellor-increases-financial-support-for-businesses-and-workers.
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This information is correct at 4pm on 22 October 2020.
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