From 1st July ( earlier than previously announced to start in August ) an employer can flexibly bring a previously furloughed employee back to work part time. The government will continue to pay 80% of the wages for the normal hours they don’t work up to the end of August, and subject to satisfying all the criteria. There will be no minimum time that staff can be furloughed for, compared to the current 3 week period.
Any working hours must cover at least 1 week and the agreement with the employee must be in writing. When claiming the grant, this must be for a minimum of a week, but longer periods can be claimed for if this is the preference of the employer. The data submitted to HMRC will include the employees usual hours, and actual hours worked.
From August the government grant for furlough will be slowly tapered off.
In June & July the government will pay 80% of wages ( up to a cap of £2,500 per month), + employers NIC + pension contributions.
In August the government will pay 80% of wages ( up to £2,500 again ) but NO NIC & NO pension costs.
In September the government will pay 70% of wages ( up to £2,187.50 per month ) but NO NIC & NO pension costs. The employer must pay 10% to top the wages up to the 80% amount, again capped at £2,500.
In October the government will pay 60% up to £1,875 with employers paying 20% to take the cap to £2,500, + the NIC + the pension.
It is important to note that the scheme will close to new entrants from 30th June. After that date the grants will only be available in respect of employees who had previously been furloughed for the minimum 3 week period. This means that the final date that an employee can be furloughed for the first time, and qualify for any furlough grants from 1st July onwards, is the 10th June date. This will then allow the current 3 week furlough period to be completed by 30th June.