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Coronavirus Job Support Scheme

The Job Support Scheme (JSS) is due to commence on 1 November 2020 as a replacement for the Coronavirus Job Retention Scheme (CJRS), also known as the Furlough scheme. It is scheduled to end on 30 April 2021. The scheme is designed to support businesses which have lower demand over the winter months due to the impact of the coronavirus.

Grants under the JSS scheme are not as generous as those under the CJRS.

The principal rules of the scheme are as follows:

a) Any employee who was included on an employers RTI return (payroll on line return to HMRC) on or before 23 September is eligible. This includes employees who were not subject to grant claim under the CJRS.

b) Claims cannot be made for employees who are on notice for redundancy.

c) Employees need to work at least 33% of their usual hours. This percentage remains in place for the period from November to January 2021. The government may increase the percentage from February 2021. The exact definition of usual hours has not be produced by the government.

e) In respect of hours unworked, the government can provide a grant under the JSS for 33% of employees unworked salary up to a maximum of £697.22 per month per employee.

f) The employer also has to pay employees 33% of the employees unworked salary.

g) Employees must be paid before a claim can be made under the JSS.

For an employee working 33% of their normal hours, the net result is that the employee is paid approximately 77% of their normal salary and the cost to the employer is approximately 56% of the employees normal salary.

HMRC’s online portal is due to open in December 2020.

Further details can be found at the following link:

https://www.gov.uk/government/publications/job-support-scheme

 

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