Employment Law Update: Coronavirus Job Retention (Furlough) Scheme Extended

The Chancellor has today announced that the Government’s Furlough Scheme has been extended until 30 June 2020. This means that firms can now furlough employees and obtain a cash grants of 80% of employees wages up to a maximum of £2,500 per month from 1st March 2020 to  30th June 2020.

The scheme was previously set to end on 31st May 2020. This extension will enable a larger number of firms to protect jobs and rely on the scheme  rather than make roles redundant.

Businesses that do intend to pursue redundancy need to be mindful of their duties of collective consultation.

Businesses that intend to make 100 staff or more redundant have a duty to commence consultations at least 45 days before any dismissals take effect.

Businesses that intend to make 20 to 99 redundancies must start consultations at least 30 days before any dismissals take effect.

Further information can be found on the gov.uk website.

If you would like up-to-date advice on this rapidly evolving area of law please contact Vina Madhavji or Jonathan Leach on 01254 301044, or complete our online contact form and one of our experts will be in touch.

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