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Hot off the press - Furlough vs Job Support Scheme


The Chancellor of the Exchequer, Rishi Sunak, has made an amendment to the Job Support Scheme (JSS) which is due to begin on 1 November 2020.

Here’s what has changed:

  • Employees are no longer required to work 33% of their normal hours, this has been reduced to 20%. This means that an employee need only work one day a week to be eligible for just over 73% of their salary.

  • The Employer contribution for the unworked hours has reduced from 33% to 5% with the government making up the employer shortfall.

  • There is no change to the Job Retention Bonus which will remain at £1000 per employee.

How does the JJS compare to the Furlough Scheme?

For those business closed due to their Tier 3 status the government will pay 67% of the employees’ wages and the employee will forgo the remaining 33% of their salary.

The Chancellor unveiled further financial support as follows:

  • A grant of up to £3750 for self-employed people

  • New grants for businesses in areas in Tier 2 and Tier 3

The new grants scheme is estimated to cost £200m a month for England and the self-employed scheme £3.1bn in total.

The new Job Support Scheme will cost between £1bn and £2bn per month.

For more details on these amendments click here.

For advice on how the Job Support Scheme may affect you or your business please do not hesitate to contact us here at Garden House on 01992 422128.

These blogs are not legal advice and are intended to provide information of general interest about current legal issues.