The furlough scheme, part of the Coronavirus Job Retention Scheme, has been extended to October, Chancellor Rishi Sunak has announced.
Originally scheduled to end in June, the Chancellor confirmed in the House of Commons that furloughed employees would continue to receive 80% of their salaries for another four months.
Current guidance states that furloughed staff can work or volunteer for other organisations, such as the care sector, without losing their furloughed pay from their primary employer.
Sunak explained how until the end of July there will be no changes, but detailed how there will be “greater flexibility” from then until the end of October.
This move is aimed at allowing firms to put employers back into work on a part-time basis, if needed.
But he says that “workers will continue to receive the same level of support”, at 80% of their current salary. However he implies that some of this will come from businesses themselves.
More specific details and information around its implementation will be made available by the end of this month.
On April 1, an independent group representing the nation’s care providers called for an urgent change to legislation to allow more recruits to join the care sector during the coronavirus crisis.
The group wrote to Boris Johnson outlining the urgent need for more care workers to cover the increased demand on their services amidst staff shortages caused by sickness and self‐isolation during the Covid-19 outbreak.
Just days later, HMRC updated its guidance on the Coronavirus Job Retention Scheme, stating that furloughed staff can work or volunteer for other organisations, even if they are currently furloughed and receiving 80% of their wage.