Our CEO, Doug Crawford, is again here with an update regarding our furlough policy following recent updates to the Coronavirus Job Retention Scheme.
With lockdown measures easing across the UK, many businesses open again and some contracts re-starting, it’s beginning to feel like we’re entering the new normal. However, for those who have been furloughed with no update on when you will be back working, it can feel like ‘normality’ – new or not - is still far away.
As you will know, we’ve approached all aspects of furlough with the best interests of our contractors and the wider industry in mind, as we do when making any decision. As a market leader in compliance, it has been essential that we wait for HMRC clarification when making decisions on how to proceed with the furloughing of our employees, which I wrote about in my previous blog six weeks ago. Following Rishi Sunak’s announcement of furlough being extended to the end of October, changes have been made to the scheme going forward. The changes will mean that employees will still receive 80% of their take home pay, however from the 1st August, the Government are expecting businesses to contribute.
What are we doing at Parasol?
Since the changes were announced, the senior team here at Parasol have again been working hard to ensure we are able to support our furloughed employees throughout the remainder of their furlough period. So far, we’ve paid millions of pounds in furlough to those of you who are eligible - and for those of you who continue to be unable to work due to COVID-19, we intend to be here to support you fully and really bring to life the Parasol value of being “with you all the way”. As such, I am very pleased to announce that we will be continuing furlough support until the end of October, for those of you who are eligible. As an employer of choice, we are proud to be taking this market leading position as we have recently seen other umbrella employers confirm they will cease their schemes at the end of July.
Going forward, our furlough support will look like this:
For the remainder of June and July: Payments for the furlough scheme remain unchanged
|Month||Government contribution to your salary||Parasol contribution to your salary||
Parasol will also pay:
|August||80%||Employer’s national insurance and workplace pension contributions|
|September||70%||10%||Employer’s national insurance and workplace pension contributions|
|October||60%||20%||Employer’s national insurance and workplace pension contributions|
|The above amounts are of your average salary and up to the cap of £2,500 per month|
By ensuring all of our decision making has been driven by clarity and compliance, we are able to support our furloughed employees on an ongoing basis, ensuring financial peace of mind throughout the rest of the crisis. Something others in the industry who made quick decisions earlier in the furlough period may not be able to promise.
If you are a Parasol furloughed employee, there isn’t anything you need to do. You will continue to receive furlough payments as usual and you only need to let us know if you are returning to a contract. We will be keeping you updated every step of the way as more is confirmed. As always, if you have any questions our employee support team are available to help.