CLARIFIED: employees can start a new job when on furlough (meaning they might end up earning 80% of the old salary and 100% of a new one). This was not prohibited in the earlier guidance, but the new guidance expressly allows it. The guidance does say it has to be allowed under the old employment contract, but presumably the old employer can waive that.
CLARIFIED: an employer can reclaim 80% of compulsory (presumably meaning contractual) commission back from HMRC, as well as basic salary. This is good news for car salesmen and estate agents. But it can only be referring to the commission from past sales as the furloughed employees cannot be completing new sales when on furlough. The cap of £2500 per month still applies
CHANGED: employers can reclaim 80% of fees (whatever that means) from HMRC. The previous guidance said they could not.
CLARIFIED: the 80% does not include non-monetary benefits (eg the value of health insurance or a car).
CLARIFIED Company directors can be furloughed. They can still perform their statutory duties, but not other work for the company.
CONFIRMED: Employees can be furloughed multiple times, ie they can be furloughed, brought back to work, then re-furloughed (subject to each furlough period being at least three weeks)
NEW: Employers must notify employees of their furlough status in writing (the previous guidance did not require it be in writing) and keep the record of that written notification for five years.
It is now even more essential to use the furlough agreement document previously provided. If you still need a copy please contact me at www.ukemploymentlawadvice.co.uk/contact
To repeat
All Employees can be furloughed if
They were on the paye payroll on February 28th
Provided the employer has enrolled for paye on line if not please use the hmrc or gov.uk website
The employee is a uk employee
The employer has a uk bank account
Apprentices can be furloughed
You the employer are receiving money from a public body to fund employment employers should not use that money to furlough employees
You can furlough individuals e.g. nannies provided they are on paye
If you made employees redundant on or after 28th February you can reinstate them and furlough them this has risks for more information please contact me.
If an employee is self isolating or on sick pay their ssp will continue when they return to work they can be furloughed.
You can furlough shielded employees
Lots of areas remain unclear. For example:-
what do ‘statutory duties’ actually cover for company directors?
are employees who TUPE into a business after 28 February covered?
can employees take annual leave when on furlough, and what should they be paid