Call us: 0300 303 4321
Castle Douglas Annan CAB Stranraer CAB Dumfries CAB (Headquarters)
Complaints Email & Web Based Advice Research & Monitoring Pension Wise When you get advice from a debt adviser When you get advice from an adviser General Subject Access Request Remember Us in Your Will Give Equipment or Professional Skills Give as you Live How to Donate Why Donate? Volunteering Video Pension Wise Newsletter Meet Janice- Volunteer Generalist Adviser Meet Colin – Volunteer Generalist Adviser Meet Robert-Volunteer Generalist Adviser Meet Derek- Volunteer Generalist Adviser Meet Kirsten- Volunteer Generalist Adviser Meet Stacey- Volunteer Generalist Adviser Meet our Volunteers Kinship Care Contact us Eu Citizen feeling in the dark about Brexit? Helpline & Webchat Phone and email advice Request a home visit Book an appointment Drop-in Health Latest Volunteer Fundraise for us Donate Other Ways to Help Us Referrals Who we help Ways to get help Get Help Family Immigration Housing and Homelessness Law and Courts Work Debt and Money Consumer Rights Benefits Advice Subject Access Request Form Locations Who Funds Us Board of Directors Privacy & Cookie Policy What We Do Who we are Home
EGM 8/6/22 Press Release – D&G CAS Get Muddy! Scam Alert War on Ukraine – UK and Scottish Government information Bright Deal Project Debt Happens, You’re Not Alone Press Release – Energy Crisis Annual Report 2020-21 Communications Strategy 2022 Volunteer Strategy 2022 Doubling the Scottish Child Payment Adult Disability Payment Big Energy Winter Press Release Press Release – Support4Life Project Help with Smoke & Heat Alarms Carers Allowance Supplement Increase Warm Home Discount Scheme £20 Universal Credit Uplift Best Start Foods Increase DAGCAS Making Debt Advice More Accessible. Changes to Employment Law – Press Release We are looking for volunteers We Have a Newsletter! Job Start Payment Civil Partnership News YES, late night Thursdays are back. Having problems getting your furlough pay? I have been affected by Coronavirus, can I claim benefits? Coronavirus – being furloughed if you can’t work PRESS RELEASE Struggling to pay your household bills? Coronavirus – if you need to be off work to care for someone Coronavirus – getting benefits if you’re self-isolating Annual Report 2019-2020 Updates from Social Security Scotland Check if your redundancy is fair ANNUAL GENERAL MEETING Press Release- End of Furlough Scheme Support Check if you can get a free TV licence Dumfries and Galloway Citizens Advice Service Opens Bureaux Are you struggling to pay your rent? Struggling to pay your mortgage? If you’re struggling to pay your bills Help for domestic abuse Kinship Care and Coronavirus What if an employee has more than one job? Can they still be furloughed? Struggling to pay back money you owe? I can’t go to work because I need to look after my child, but my boss is threatening to sack me if I don’t. What should I do? My boss is forcing me to go to work but I’m scared of coronavirus. What should I do? Does your relative/neighbour/friend need advice and help? They don’t have a phone or access to internet? Going to work “Thank you for you help, we are now well on the road to getting my mum some much needed help” Do you think shops are acting unfairly? Support for those at high COVID-19 risk Claim for your employees’ wages through the Coronavirus Job Retention Scheme Support for other forms of gender-based violence More Support for women, men, LGBT+ community, Ethnic Minority, Students and non UK citizens affected by domestic abuse… Press Release- 07/04/2020 Are you a young person? Are you worried about your health and well being? Managing money in the current crisis Struggling to pay your energy bills? Advice for businesses If you think shops aren’t acting fairly If you need to take time off to look after your children School closures and key workers Changes to benefits Health advice Caring for you mental health COVID-19 FAQ Furlough Staff Is Coronavirus impacting your life? PRESS RELEASE SOUTH OF SCOTLAND MSP COLIN SMYTH PRAISES AMAZING WORK OF LOCAL CITIZENS ADVICE SERVICES AND CALLS FOR MORE PEOPLE TO CONSIDER VOLUNTEERING ARE YOU AN EU CITIZEN AND DO YOU WANT TO STAY IN SCOTLAND? PRESS RELEASE Scottish Gas (British Gas) Prepayment Keys / Cards Eu Citizen feeling in the dark about Brexit? Volunteer For Us Late Applications for EU Citizens Support Scheme Press release
Home | COVID-19 | COVID-19 FAQ Furlough Staff

COVID-19 FAQ Furlough Staff

3rd April 2020

We have had an increased number of calls and emails asking about the option of ‘Furloughing Staff’.

We’ve put together this Q&A which we hope will answer any questions you may have at this time. 

1: Can all staff be put on furlough?

There are exceptions, but generally speaking they can, providing they were on payroll by 28 February 2020. Furloughed employees can include full-time; part-time; employees on agency contracts (providing they are not working); and employees on flexible or zero-hour contracts. The scheme also covers employees who were made redundant since 28 February 2020, providing they have subsequently been rehired by their employer. To be eligible for the JRS subsidy, employers should write to their employees confirming that they have been furloughed, and keep a record of this communication.

2: What are the exceptions?

The guidance makes clear that the JRS is for those not working, so employees working reduced hours or on reduced pay cannot benefit from the scheme. Employees hired after 28 February 2020 also cannot be furloughed, or claimed for in accordance with this scheme. The same applies to all employees on unpaid leave, unless they were placed on it after 28 February 2020.

Employees on sick leave or self-isolating as a result of the Coronavirus are entitled to statutory sick pay of £94.25 per week from the first day they are off work. They will need to provide an isolation note from the NHS, which can be obtained here. Small and medium-sized businesses will be able to reclaim up to two weeks statutory sick pay (SSP) paid to employees for absence related to coronavirus. This applies to all companies that had fewer than 250 employees as of 28 February 2020. Once an employee is no longer on sick leave, they are can also be furloughed.

3: How far back can the furlough claim be backdated?

The scheme is open to all UK employers for at least three months starting from 1 March 2020, with the guidance stating: “claims can be backdated until the 1 March if applicable”.

4: Can staff continue to accrue holiday pay while on furlough?

There is no mention of this within the JRS guidance, and the details regarding the matter are still being ironed out by HMRC and will be addressed through updated guidance that’s due to be released soon.

However, according to employment law specialists Lewis Silkin, employees should continue to accrue holiday allowance while they are furloughed because they remain employed. In an analysis of the JRS, partners Lucy Lewis and Richard Moore write: “You could agree that no contractual holiday (beyond the statutory minimum of 5.6 weeks per year) will accrue during furlough, but employees will retain their right to accrue annual leave under the Working Time Regulations.”

While this is technically correct, the notion of staff accruing holiday pay while on furlough amid the current crisis is not one likely to be encouraged. Government guidance says: “Employers should discuss with their staff and make any changes to the employment contract by agreement.”

Given the circumstances, however, holiday pay should not be a priority issue for businesses and furloughed staff should be made aware of this. London Union’s Jonathan Downey’s approach is to be clear with staff from the outset.

He says he is asking furloughed staff to agree to three things: to being out on furlough; that, during the furlough period they will not accrue holiday pay; and that during the period any accrued holiday pay will run down to zero. “Anyone not agreeing to these terms doesn’t go on furlough,” he says.

5: If an employee has more than one job, can they still be furloughed?

Employees that have more than one employer can be furloughed individually for each job. Each job is separate, and the cap applies to each employer individually. If you’re put on furlough by more than one employer, you’ll receive separate payments from each employer. The 80% of your normal wage up to a £2,500 monthly cap applies to each job.

6: Can furloughed employees continue to work elsewhere?

While it is not directly addressed in the Government guidance, HMRC has confirmed that yes, employees can work for another employer while on furlough, providing their contract allows it. It is, however, noted in the guidance that with regards to agency workers, the JRS is only for employees on agency contracts who are not working.

7: How is the amount a business can claim per employee calculated?

Employers can claim a grant through HMRC to cover 80% of an employee’s regular wage up to £2,500 per month, and must pay this to their employees at the minimum. An employer can also choose to top up an employee’s salary beyond this, but is not obliged to do so under this scheme.

For full time and part time salaried employees, employers should use the actual salary before tax, as of 28 February 2020, to calculate the 80%. However, fees, commission and bonuses should not be included.

For those whose pay varies, but have been employed by a business for at least a year prior to the claim, the employer can claim for the higher of either the same month’s earning from the previous year; or the average monthly earnings from the 2019-20 tax year. If the employee has been employed for less than a year, employers can claim for an average of the employee’s monthly earnings since they started work

The guidance also states: “If the employee only started in February 2020, use a pro-rata for their earnings so far to claim.”

8: What about Employer National Insurance and pension contributions?

According to the guidance: “All employers remain liable for associated Employer National Insurance contributions, and minimum automatic enrolment employer pension contributions on behalf of their furloughed employees.”

Employers will receive the associated Employer National Insurance contributions and minimum automatic enrolment employer pension contributions on the subsidised wages claimed through the JRS.

However, National Insurance contributions and automatic enrolment contribution on any additional top-up salary will not be funded through the scheme. Likewise, any voluntary automatic enrolment contributions above the minimum mandatory employer contribution of 3% of income will not be covered.

9: How can someone make a claim under the Coronavirus Job Retention Scheme?

Businesses will be able to claim through an online service that is expected to be available by the end of April.

To claim, you will need to provide:

10: What happens after the claim is made?

The guidance states:

“Once HMRC have received your claim and you are eligible for the grant, they will pay it via BACS payment to a UK bank account. You should make your claim in accordance with actual payroll amounts at the point at which you run your payroll or in advance of an imminent payroll.

Back to News
This site uses cookies.
Read our privacy policy

This site uses cookies for marketing, personalisation, and analysis purposes. You can opt out of this at any time or view our full privacy policy for more information.