At the end of September, the government announced its new furlough scheme, the Job Support Scheme (JSS). A further amendment to the scheme was announced today by Chancellor Rishi Sunak and is due to begin on 1st November 2020.
The increased support for businesses and workers comes after growing pressure from firms in tier two areas.
When first announced, the JSS required employees to work a minimum of 33% of their normal hours to qualify. This has now been reduced to 20%, meaning that employees working as little as one day a week are now eligible for the scheme.
Under the revised scheme, the government will pay contributions up to 61.67% of employee wages, capped at £1,541.75, while businesses will pay just 5% for ‘unworked’ hours. The employee would still surrender up to a third of their unworked pay.
No changes have been made to the Job Support Scheme for those businesses in tier 3 who are legally required to close.