Another extension to the furlough scheme

legal updates

The government initially intended to review the level of support in January 2021 but decided to bring the review forward.

Read our disclaimer keyboard_arrow_down

This website content is intended as a general guide to law as it applies to the motor trade. Lawgistics has taken every effort to ensure that the contents are as accurate and up to date as at the date of first publication.

The laws and opinions expressed within this website may be varied as the law develops. As such we cannot accept liability for or the consequence of, any change of law, or official guidelines since publication or any misuse of the information provided.

The opinions in this website are based upon the experience of the authors and it must be recognised that only the courts and recognised tribunals can interpret the law with authority.

Examples given within the website are based on the experience of the authors and centre upon issues that commonly give rise to disputes. Each situation in practice will be different and may comprise several points commented upon.

If you have any doubt about the correct legal position you should seek further legal advice from Lawgistics or a suitably qualified solicitor. We cannot accept liability for your failure to take professional advice where it should reasonably be sought by a prudent person.

All characters are fictitious and should not be taken as referring to any person living or dead.

Use of this website shall be considered acceptance of the terms of the disclaimer presented above.

Bringing some positive news, surely needed before this Christmas, Chancellor Rishi Sunak announced that the current furlough scheme will continue unchanged until the end of April 2021.

The government initially intended to review the level of support in January 2021 but decided to bring the review forward.

Until the end of April 2021, the government will continue to pay 80% of wages (subject to the current cap and meeting the eligibility criteria) for employees on furlough. The employer will continue to pay the pension and NI contributions. 

Of course, if the employee is doing some agreed work while on furlough, which is allowed under the current rules, then the employer will pay the usual wage and contributions.

Dealers may continue to utilize our most recent template for a furlough agreement and bearing the announced extension in mind, the furlough agreement can run to 30 April 2021.

Finally, the furlough guidance has been updated with reference to the Christmas seasonal holidays:
“…employees should only be placed on furlough because your operations have been affected by coronavirus (COVID-19) and not just because they are on paid leave. This applies equally during any peak periods in late December and early January.”

Previous specific guidance that employees should not be put on furlough “if you usually do less business over the festive period” has been removed. Nevertheless, the general principle that operation of the business must be affected by the coronavirus remains in force.

InvolutionSTAFF UNIFORM | PROMOTIONAL WEAR | MERCHANDISE | BUSINESS GIFTS

Leading experts in print, promotional clothing, staff uniforms, branded merchandise and PPE. Involution is your brand partner for promotional marketing and workwear, a one-stop-shop for your branded marketing needs for any business size and industry.

Kiril MoskovchukTrainee SolicitorRead More by this author

Related Legal Updates

Extension of Redundancy Protection for Pregnancy and New Parents

Explore the strengthened redundancy protections for new parents with significant amendments to maternity, adoption, and shared parental leave rights, effective from April 2024, ensuring enhanced job security during critical family milestones.

Changes to Flexible Working

Unveil the new landscape of flexible working rights with the Employment Relations (Flexible Working) Act 2023, now granting ‘day-one’ rights to employees and setting a precedent for more adaptable workplace practices effective from 6 April 2024.

New employment legislation effective from 6 April 2024

Enhanced employee rights, offering day-one entitlements to carer’s leave, flexible working arrangements, and extended redundancy protection for pregnant employees and those on family leave.

Wages increasing from 1 April 2024

With effect from 1 April 2024, the hourly rates of pay are…

Employment Law: Carer’s Leave

The regulations explicitly safeguard employees from any detriment or dismissal resulting from taking or seeking to take carer’s leave.

Employment Law: Annual Leave Changes

Several significant changes came into force on 1 January 2024 that affect the statutory annual leave and pay entitlements.

The office Christmas party season is here

Where an employee makes comments concerning a person’s body parts or style of dress that are intended to be good-natured but are perceived as offensive…

Get in touch

Complete the form to get in touch or via our details below:

Phone
01480 455500
Address

Vinpenta House
High Causeway
Whittlesey
Peterborough
PE7 1AE

By submitting this quote you agree to our Terms & Conditions and Privacy & Cookies Policy.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.