Furlough

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Client contacts me today. He has a successful business with 20 people and has furloughed no-one before.  If he gives all his 20 staff just 1 day of flexi-furlough in November (in other words just an extra day of paid holiday this month) will he get a government payment of £20,000 (£1,000 per employee) in January?

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By Ben McLintock
02nd Nov 2020 09:17

No idea whether it's technically allowed but it's definitely abusive of the scheme.

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By Paul Crowley
02nd Nov 2020 09:19

Serious question?
And you act for that kind of client?

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By Paul Crowley
02nd Nov 2020 10:11

David Treitel wrote:

Client contacts me today. He has a successful business with 20 people and has furloughed no-one before.  If he gives all his 20 staff just 1 day of flexi-furlough in November (in other words just an extra day of paid holiday this month) will he get a government payment of £20,000 (£1,000 per employee) in January?

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By yelsnew
02nd Nov 2020 10:28

Pretty sure the bonus rules will change now that 1/3rd of the months required to pay staff can be furloughed. I have little doubt they will only open the bonus to those who were on the first lot of CJRS and not this extension.

Could be wrong though!

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Replying to yelsnew:
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By yelsnew
02nd Nov 2020 10:28

Also, your client is a t**t

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By NYB
02nd Nov 2020 11:09

God. We all have one don't we. No idea how their minds work. But I think this whole Bonus thing will go back in the pot at some point. I don't think we should be worrying about what will no doubt change.

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By tom123
02nd Nov 2020 11:22

Perfectly valid question to me, I thought of this in the car this morning..

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Replying to tom123:
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By Paul Crowley
02nd Nov 2020 12:07

One day of furlough?

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Replying to Paul Crowley:
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By tom123
02nd Nov 2020 12:16

Making no value judgement on the answer..

I assume, however, that avoidance rules will come in

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By lesley.barnes
02nd Nov 2020 11:36

Good question - originally the rules said that only specific cases could be counted after the 10th June when the CJRS closed to new entrants. Now of course furlough has reopened to people on the payroll by the 30th October. I would be amazed if this grant isn't reviewed to stop people doing what your client is trying to do.

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Replying to lesley.barnes:
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By Paul Crowley
02nd Nov 2020 17:11

I recon it will and qualification months put back.
Otherwise rewarding employers to furlough.

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