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flexi furlough and furlough rate

zero hours contract furlough rate

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When calculating flexi furlough for zero hours contract, do you all agree that the furlough rate should be based on last year's rate of pay i.e. before the increase of NMW in April 2020?

The hours worked will be in line with the NMW guidelines i.e. post April 2020.

This is how I understand the guidelines, but just checking. 

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By SarkaT
14th Aug 2020 13:54

Yes. This was discussed here earlier in the year and is explicitly mentioned in HMRC guidlines. Since no work is done, NMW does not apply and furlough pay can be effectively below NMW.
Scroll to "National Minimum Wage"

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By jules66
16th Aug 2020 22:09

Yes, furlough based on average of 2019/20 earnings or same period last year whichever higher. Hours worked now will be paid at new minimum wage.

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By psimonparsons
17th Aug 2020 11:29

Basis on actual pay received. NMW has no relevance or any other subsequent pay rise to furlough. It basis is on historic fact.

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