10.00am 24.03.20 CORONAVIRUS JOB RETENTION SCHEME UPDATE

CORONAVIRUS JOB RETENTION SCHEME
As you have previously been advised the WG will cover up to 80% of employees’ wages for employees that would otherwise be laid off, up to a maximum of £2,500 a month per employee as a grant. This wage support will last for at least 3 months. This can be backdated and apply to employees who were on the payroll as of 28th February, even if they have since been let go
 
NEW INFORMATION:
Employers need to designate affected employees as “furloughed workers”. You must then notify your employees of this change [this change remains subject to existing employment law].
Also, employers need to make sure that the details of the employees that have been “furloughed” is submitted to HMRC, either direct to HMRC by you, on their new online portal [when it is launched] or via your accountant or third party book-keeper who deals with payroll on your behalf. It will be important to notify HMRC as soon as their portal is up and running to avoid delays which are expected anyway.
 
SELF- EMPLOYED
Regarding self-employed people, which many of you are, we await new information from the Government to remedy the unfairness that as an employer your staff will be guaranteed 80% of their earnings but you as employers are not. We suggest that you lobby the Welsh Government to bring this forward ASAP to get rid of the uncertainty that this lack of information brings.
 
RENT
In order to mitigate the financial strains on your business and if you pay rent, you are advised to contact your landlords and ask for a “Rent Holiday” or at least that rent is deferred to a later date when you reopen and cash flow is restored.

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