With a national lockdown now imposed, the government has announced the JRS will continue in much the same way as it was operating in August 2020.
What’s happening?
The Job Support Scheme (JSS) was going to be taking over when the JRS was due to end, on 31st October 2020. However, given the renewed nationwide lockdown, the JRS has been extended.
What are the details?
- The JRS will start from 1st November 2020 (even though the nationwide lockdown is only from 5th November.
- Initially this was going to last for just the month of November. However, the chancellor has announced, on the 5th November, that this will go on until the end of March 2021, with a review in January 2021.
- The amounts are initially the same as in August 2020, which is that government pays 80%, up to £2,500 per month; employers pay employers NIC and pension contributions, and can top-up if they want to.
- Furloughed employees must have been on a payroll as at end of October 2020 to qualify; they don’t need to have been on a previous JRS claim.
- Flexible furlough is still allowed, as is full-time furlough.
- The JRS Bonus will no longer be paid in February, given the extension of the JRS.
Are directors included?
Like before, this isn’t 100% clear, but we suggest that if you want to claim JRS as a director, you retain good records to allow you to support your calculation of usual working hours, as well as hours worked during furlough, if any.