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Who is furlough extended for. Under the terms of the extension the government will pay 80 of a workers salary while the employer will have to meet the cost of national insurance payments and pension contributions. Theres a cap on government support this time its set at 69792 per month. Pay during furlough could be less than usual if agreed between the employer and employee or worker.
Yes furlough is changing again in october and its feared this will pile even more pressure struggling firms. See our furlough and benefits guide for more information. Employers can use this scheme to claim a percentage of each furloughed employee or workers usual wages.
The coronavirus job retention scheme cjrs better known as the furlough scheme will be extended until the end of march 2021. Today 5 november chancellor rishi sunak announced that furloughed employees will receive up to 80 of their average earnings worth up to 2500 a month until the end of march 2021. Under the coronavirus jobs retention scheme to give furlough its official title employees placed on leave receive 80 of their pay up to a maximum of 2500 a month.
From october 1 the governments contribution will fall from 70 of wages to 60 of. What does furlough mean for my pension. The scheme was due to end on october 31 but will now run throughout november as b.
Theres another catch too. The government introduced the coronavirus job retention scheme in march promising to pay furloughed workers 80 percent of their wages. Thats equivalent to just 222 of your wage down from 80 under the furlough scheme.
The employer may be able to get financial support from hmrcs coronavirus job retention scheme. The government has extended the furlough scheme meaning workers can get 80 of their salary paid through lockdown. There is currently no change to the automatic enrolment rules for defined contribution pension schemes the timescales for contribution payments nor any allowances for a payment holiday.
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