Expansion of Job Support Scheme

Expansion of Job Support Scheme

This update is written and posted on Monday 12th October 2020 and will quickly become out of date once further details are known. We will endeavour to update it as soon as information becomes available.


In advance of the Government’s announcement today as to the three tier system for local restrictions, the Chancellor has announced an expansion of the Job Support Scheme

Businesses who are eligible and who are required to close can claim up to two thirds, (or 67%,) of each employees’ salary, subject to a maximum per employee of £2,100 a month. Employers must pay the National Insurance and pension contributions, but are not otherwise required to contribute to the employees’ wages.

As a reminder, SMEs are eligible, as are larger businesses who have suffered a drop in turnover. Further clarification of these eligibility requirements has still not be given.

Given the payment is for those businesses who are required to close, there is obviously no requirement for employees to carry out any work.

What if your business is NOT required to close?

Where businesses are not required to close and employees are working at least 33% of their normal hours, the Job Support Scheme pays 33% of the hours not worked. The employer pays another 33% of the hours not worked and the employee foregoes the final 33%.

If you have any specific questions, please e-mail reception@sherborneslaw.co.uk and we will try to cover the point when the answer is available.

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