CJRS Vital Updateby The Payroll Manager on 06/24/20
We are getting ready for the new CJRS rules from 1st July 2020.
Under the scheme, from 1st July 2020, it is now permissible to utilise staff on a part-time basis while still being able to claim CJRS for the furloughed balance.
Up to and including 30th June 2020 it is fraudulent to claim for any time period that an employee has been working. Our advice is to abide by these rules because the penalties are extremely heavy, including potential prison sentences for directors deliberately breaking the rules for financial gain. It follows that if we become aware of any rule breaking then we will not make a claim under the CJRS.
It is essential to note that if an employee has not been furloughed for a minimum of three weeks before 30th June 2020 then they will not be able join the scheme now or in the future.
Having looked at our current forms we have decided to update them here so that clients will be able to state clearly the current status of each employee. There are now three options: Fully Furloughed, Flexi Furloughed, Not Furloughed. It is essential that we can understand the exact position for each staff member. There has been some confusion with the start and end date boxes: these boxes must be completed with either a 'start date' or the words 'continuing from prior claim' and/or an 'end date' or the 'words continuing to next claim'. Leaving boxes blank is not an option.
Equally vital for Flexi Furloughed staff is a record of the hours actually worked by each employee. We know standard contractual hours or have computed average hours worked so we will then be able to work out what proportion of employee income should be paid by you and what can be claimed under the CJRS. All worked hours must be paid at 100% and all furloughed hours will be supported by the CJRS for the first 80% and may be topped up by the employer. These percentages gradually change over the coming months until the scheme closes at the end of October 2020.
Please email if you need any help or clarification.