COMPLIANCE
CJRS developments
LoraMurphy ACIPP, CIPP policy and research officer , outlines and discusses flexible furloughing and the scheme’s operational rules from July
A s promised, HM Revenue & relating to how the Coronavirus Job Retention Scheme (‘the scheme’ or CJRS) will operate from 1 July 2020 to 31 October 2020. The concept of ‘flexible furloughing’ is introduced for this period, meaning that employees will be able to return to work on a part-time basis whilst still being eligible under the scheme. The starting point in the official guidance is the CJRS collection page – http://ow.ly/cvua30qQ1oP – which links to all the pages for employers to access information about the scheme. Although HMRC has reminded customers that in the first instance they should use Customs (HMRC) published in June a wealth of new guidance the guidance available for assistance, and to refrain from contacting them directly where possible, a support online is provided through a digital assistant (https://bit.ly/2YzG6Qy) as well as webchat and a helpline. HMRC will be checking claims, and if found to be fraudulent payment can be withheld or if already paid out employers can be made to repay the sums. Payments (grants) made under the CJRS are not classed as state aid. The first point at which claimants can submit a claim through the new-style scheme will be from 1 July 2020, with 31 July 2020 being the final day that claims can be submitted for periods ending on, or before, 30 June 2020. From 1 July
2020, employers can bring employees back to work on any agreed work pattern and will still be able to claim the grant for any hours not worked. Eligibility Only employers that have previously successfully submitted claims under the scheme will be eligible for grants from 1 July 2020. Employees must have been furloughed prior to 30 June 2020 and, in order to observe the three-week minimum period required under the scheme previously, been placed on ...employees will be able to return to work on a part-time basis whilst still being eligible... furlough not later than 10 June 2020. The rules, however, differ where an employee is returning from a period of statutory parental leave. Such employees returning after 10 June 2020 can still be furloughed, if: • their employer has previously submitted a furlough claim between 1 March 2020 and 30 June 2020 • they had commenced maternity, shared parental, adoption, paternity or parental bereavement leave prior to 10
June 2020 and returned from that leave after 10 June 2020 • the employee was on a payroll for pay as you earn purposes on or prior to 19 March 2020 and was reported in a real time information submission return on or before the same date. Businesses are not required to place all employees on furlough. They have the option to continue to fully furlough employees if they wish, but employees must not work for any time the employer records them as being on furlough. Employees can continue to take part in training, volunteering for another employer or can start work for another employer if contractually allowed. Claims The number of employees who can be claimed for under one claim from 1 July must not exceed the maximum claimed for under any claim ending 30 June. If, for example, the employer had furloughed 30, 20 and 50 employees in previous claims, then the maximum number of employees the employer can claim for from 1 July 2020 would be 50 in any single claim. The exception is where employees are being furloughed for the first time because they are returning from a period of parental leave. In this instance, they can be added to the previous maximum number. So, to use the previous example, employers could claim for 50 staff plus
| Professional in Payroll, Pensions and Reward | July/August 2020 | Issue 62 30
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