What is the Coronavirus Job Retention Scheme?

The Government announced the introduction of a temporary job retention scheme, open to all employers starting from 1st March 2020 until the end of June.

The objectives are to keep as many workers as possible employed (albeit on a reduced wage) and ensure companies can maintain their skilled workforce ready for when the current crisis ends and their skills are needed.

To be eligible for CJRS an employer must agree with the employee that they are a ‘furloughed worker’.

  • Employees must be notified that they have been furloughed.
  • Employees must be furloughed for a minimum of three weeks.
  • The employee cannot do any work for the employer that has furloughed them.
  • You can claim 80% of wages up to a maximum of £2,500 per month per furloughed employee.
  • A separate claim is needed for each PAYE scheme.
  • You can only claim for furloughed employees that were on your PAYE payroll on or before 19 March 2020.

Download a copy of the Government’s step-by-step guide here.