Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

CoronavirusLatest NewsJob creation and lossesFurloughRedundancy

Furlough scheme continues to wind down

by Ashleigh Webber 1 Sep 2020
by Ashleigh Webber 1 Sep 2020 Chancellor Rishi Sunak and prime minister Boris Johnson
Toby Melville/PA Wire/PA Images
Chancellor Rishi Sunak and prime minister Boris Johnson
Toby Melville/PA Wire/PA Images

The Coronavirus Job Retention Scheme continues to wind down today, with employers now having to contribute to furloughed workers’ wages.

Since March the government has paid 80% of furloughed workers’ wages up to £2,500 a month and from 1 August businesses began to pay employers’ pension and national insurance contributions. But from today (1 September), the government’s contribution reduces to 70%, with the employer paying 10%.

Furlough

Two-thirds continued to work while on furlough

Furlough scheme ‘has been adapted as far as possible’

Furlough fraud soars as job retention bonus details released

The next ethical dilemma: do we pay back furlough?

In October the government will pay 60% of furloughed employees’ wages up to a maximum of £1,875, with employers expected to make up the remaining 20%.

Some 9.4 million employees, working for 1.2 million organisations, have been furloughed at a cost of more than £30bn.

The scheme will close on 31 October and chancellor Rishi Sunak has repeatedly ruled out an extension to it, despite pleas to keep it in place for sectors that are still struggling as a result of Covid-19 restrictions.

In July he said it been “adapted as far as possible” and said the government’s Plan for Jobs was the right step to take as the UK emerged from the pandemic.

“As we reopen the economy, there is broad consensus across the political and economic spectrum – the furlough scheme cannot continue indefinitely,” Sunak said earlier this year.

Craig Beaumont, chief of external affairs at the Federation of Small Businesses, told the BBC’s Today programme that the scheme had been used by one million small firms and that almost a quarter were preparing to reduce headcount within the next three months.

“This is very, very serious. That’s a huge section of the economy,” he said. “Sixty per cent of those who work in the private sector do so for a small business, so if that happens without any intervention, then that’s a huge increase in mass unemployment.”

Sign up to our weekly round-up of HR news and guidance

Receive the Personnel Today Direct e-newsletter every Wednesday

OptOut
This field is for validation purposes and should be left unchanged.

This week the government is set to launch a campaign to bring people back to work – particularly office workers – amid claims that city centres are turning into “ghost towns”.

Latest HR job opportunities on Personnel Today

Browse more human resources jobs

Ashleigh Webber

Ashleigh is a former editor of OHW+ and former HR and wellbeing editor at Personnel Today. Ashleigh's areas of interest include employee health and wellbeing, equality and inclusion and skills development. She has hosted many webinars for Personnel Today, on topics including employee retention, financial wellbeing and menopause support.

previous post
Scotland’s first minister proposes retraining scheme and ‘green’ jobs
next post
Four-day week could create half a million public sector jobs

You may also like

Company director wins £15k after being told to...

4 Jul 2025

Skills shortfall in construction threatens housing target

4 Jul 2025

MPs demand Home Office tightens visas to protect...

4 Jul 2025

It’s all about the Monet: how art transforms...

3 Jul 2025

Stop chasing quick fixes: return to the office...

3 Jul 2025

Asda hails major upgrade in employees’ benefits

3 Jul 2025

100% success for latest large-scale four-day week trial

3 Jul 2025

NHS 10-year Health Plan sets out vision for...

3 Jul 2025

Microsoft to cut 9,000 jobs globally as role...

3 Jul 2025

Decline in workplace deaths: falls from height remain...

3 Jul 2025

  • Empowering working parents and productivity during the summer holidays SPONSORED | Businesses play a...Read more
  • AI is here. Your workforce should be ready. SPONSORED | From content creation...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2025

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2025 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+