Currently not everyone is quite back to their version of ‘the norm’, with those in the events industry being far from it. Gatherings are still capped at 30 attendees and some florist businesses are only bringing back staff part-time. It’s important that as you change staffing plans to manage your business efficiency, you also keep up to date with HMRC rules. This means you are always doing the thing right as well as accessing all the help you need.
You may even be in a position where you need to take on someone else and the government have introduced ‘ The Kickstart Scheme’ which has been updated from their previous similar programmes, and could be a great day to find your new team member.
Below is some information that could help you, your staff and your business weather the next stages going forward, as always please get in touch with us if in doubt by emailing firstname.lastname@example.org.
Job Retention changes
From 1 September HMRC will now pay 70% of usual wages up to a cap of £2,187.50 per month for the hours furloughed employees do not work.
What you need to do now
- Continue to pay your furloughed employees at least 80% of their usual wages for the hours they do not work, up to a cap of £2,500 per month. You will need to fund the difference between this and the CJRS (Coronavirus Job Retention Scheme) grant yourself.
- The caps are proportional to the hours not worked. For example, if your employee is furloughed for half their usual hours in September, you are entitled to claim 70% of their usual wages for the hours they do not work up to £1,093.75 (50% of the £2,187.50 cap).
- Continue to pay furloughed employees’ National Insurance and pension contributions from your own funds.
- From 1 October the government will pay 60% and employers will pay 20% of employees’ wages for the time they are being furloughed. Employers will also continue to pay their National Insurance and pension contributions.
- You will continue to pay employees wages at the contracted rate for the hours they work for you.
The scheme ends on 31 October 2020. Find out more here.
For more information on the governments new updates job retention scheme CLICK HERE
The government has introduced a new Kickstart Scheme in Great Britain, a £2 billion fund to create hundreds of thousands of high quality 6-month work placements aimed at those aged 16 to 24 who are on Universal Credit and are deemed to be at risk of long term unemployment.
Funding available for each job will cover 100% of the relevant National Minimum Wage for 25 hours a week, plus the associated employer National Insurance contributions and employer minimum automatic enrolment contributions.
- If you are an employer looking to create job placements for young people, check if you can apply for funding as part of the Kickstart Scheme.
- If you are considering becoming a representative for a group of employers, check what information you need to provide to apply for a grant through the Kickstart Scheme.
Find more guidance and promotional materials here.
Some aspects of business support are devolved. Specific information for businesses and employers in Northern Ireland, Scotland and Wales is available. The Job Retention Scheme is available across all of the UK.
This information is issued by the Department for Business, Energy and Industrial Strategy and provides the latest information for employers and businesses on coronavirus (COVID-19). All coronavirus business support information can be found at gov.uk/business-support