The amount employers can claim in furlough pay from the Coronavirus Job Retention Scheme (CJRS) will reduce at the end of June. Below we summarise everything you need to know.
What employers can claim:
- For periods ending on or before 30th June 2021: 80% of an employee’s usual salary for hours not worked, up to a maximum of £2,500 per month;
- From 1st July 2021: 70% of an employee’s standard salary for hours not worked, up to a maximum of £2,187.50 per month, and will pay the other 10% themselves;
- From 1st August 2021: 60% of an employee’s usual salary for hours not worked, up to a maximum of £1,875 per month, and will pay the other 20% themselves.
What employers will have to pay:
- The cost of employer National Insurance and pension contributions;
- Holiday pay for any holiday that the employee takes (the difference between 80% and 100% of pay);
- From 1st July 2021: the contributions set out above.
If they choose to, employers can continue to top up wages to 100%.
If you require guidance on any of these changes, please contact our HR team at hr@tc-group.com or your TC adviser on 0330 088 7111.
