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A usual hours question

I cannot make the guidance fit

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This is a question on usual hours.

We pay monthly, (fixed amount) and work fixed hours per week.(37).

However, the 'usual hours' in each month will obviously vary according to weekdays.

For July, if I look at Mondays to Fridays, I get 170 hours in total. (we work 7.5 Mon to Thur and 7.0 on Friday

Taken over a year, we should be working 52 weeks x 37 hours = 1924, which would be 160.33 per month. (We ignore the odd day in the year)

Are my usual hours 170, or 160.33?

I guess August might move the other way.

Our contracts are not specified in hours per month or hours per year.

On the plus point - I quite like the calculation the .gov site spits out - I can understand it. With the caveat that I put start and end dates as 1st and last day of the month, and don't get involved in the fact our pay day is 28th.

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By Ben McLintock
17th Jun 2020 14:59

My take is that is should be 170, the actual number of hours you're working with. Otherwise the percentages are out, especially at the extremes i.e. bring someone back for just one day then their furloughed hours would be 170 - 7.5 = 162.5. You wouldn't claim 162.5/160.33 of the CJRS grant - you'd claim 162.5/170.

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By tom123
17th Jun 2020 15:28

I kind of see that, but, whichever denominator I was using, I would deduct the worked hours from it.

So, I could claim 152.83/160.33 etc.

So glad I only have our own payroll to worry about!

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By Ben McLintock
17th Jun 2020 15:51

I guess that would give quirky results at the other extreme i.e. worked 162.5 hours, furloughed 7.5 hours?

Sorry if I'm sounding pedantic. I'll have a similar problem - my initial thoughts were along your 160.33 reasoning, but I'm now thinking it should be on actual working hours in the month.

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By PandoraSleeps
19th Jun 2020 16:54

EDITED
Having now worked through the guidance in detail, the calculation seems to be:

1. Contracted hours @ last pay period on or before 19 March = 37 per week.
2. Divide by # calendar days in repeating working pattern (7) = 5.286
3. Multiply by # calendar days in pay period (or part pay period) (July: 31) = 163.857
4. Round up to next whole number = 164.

So your normal hours for July would be 164. You would then work out the actual hours worked in July, and the difference is the furloughed hours.

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