Croner employment law

Announcement – Changes to the Job Support Scheme

Last week the Chancellor announced changes to how the Job Support Scheme will work once it comes into effect from 1st November.

Croner can help you to understand the changes, what they mean for your business, and how to handle them. Through your ALFED membership you have access to free, specialist advice from their expert team. Please contact Margaret Lane at ALFED for details: m_lane@alfed.org.uk.

What’s Changed?

The rules on the original version of the scheme have now changed – the element of it that helps employers who can stay open. The element to help businesses who have to close has not changed.

Here, Croner provide a breakdown and explain the key changes announced:

Old Rules

  • Employees have to work for at least one third (33%) of their normal working hours, which the employer pays for
  • The employer also pays the wages for one third (33%) of the unworked hours
  • The Government pay the wages for one third (33%) of the unworked hours, to a cap of £697.92 per month

New Rules

  • Employees have to work for at least one fifth (20%) of their normal working hours, which the employer pays for
  • The employer also pays the wages for 5% of the unworked hours
  • The Government pay the wages for 62% of the unworked hours, to a cap of £1,541.75 per month

Even so far into the pandemic, new hurdles are continuously being thrown in the way of businesses as the number of cases fluctuate significantly.