The Coronavirus Job Retention Scheme Bonus
The Government has issued further guidance here regarding the Coronavirus Job Retention Scheme (CJRS) Bonus also known as the “Furlough Bonus” which is to be made available to employers who retain their previously furloughed staff up until January 2021.
The bonus will be paid to eligible employers from February 2021.
The purpose of the bonus is to try and incentivise employers to retain any member of staff who has been furloughed at some point during the lifetime of the CJRS, and to avoid mass redundancies being made once the furlough scheme comes to an end in October.
There is a concern that once furlough support is removed that the UK’s unemployment rate will skyrocket. This bonus is designed to continue supporting jobs through the UK’s economic recovery and encourage employer’s to find a way to retain their staff.
In order to be eligible, the employer must be able to show that the relevant employee received earnings in November, December and January and must have been paid an average of at least £520 per month and a total of at least £1,560 across these three months.
If successful, the employer will receive a single payment of £1,000 for every previously furloughed employee they retain until the end of January 2021.
Further guidance is expected in September.
We Can Help You
For specific advice for your business, 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 12.00pm on 17 August 2020.
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