A large HR firm just emailed saying employees must be paid furlough pay first, then it is recovered by employer after.
But my clients with no cash have drawn up mutual agreements that employees will be paid as soon as the employees receives the money.
I cant find any guidance on this. So do I need to put their furlough pay on their March payslips or not?
Are you showing it seperately on payslips, or just doing salaries as normal?
If I'm honest, I dont know what to do.
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I would view the matters as separate. Payroll to be done as normal, albeit furloughed employees may only be on 80% of their normal salary, with the government grant claimed afterwards as a separate exercise.
I suspect that you'll be asked to confirm that the wages have been paid when you make your claim.
Not paying them is breach of contract. But if they agreed to wait for some of their pay that might be ok, but as usual we have to wait for the guidance. If the employee didn't receive sufficient cash to live on they'd end up trying to claim benefits.
If an employer has no money to bridge the gap between payroll and the grant repayment it would seem their only option would be to make the employee redundant, unfortunately.
If an employer has no money to bridge the gap between payroll and the grant repayment it would seem their only option would be to make the employee redundant, unfortunately.
Or the CBILS which HMG have been pushing businesses towards.
Unless you own your own home, in which case the banks are refusing most applications. Shambles
Really? That’s shocking.
Own own, or own with a mortgage?