There are several implications of The Health Protection (Coronavirus) Regulations 2020 for employees and businesses.
The Scheme works by enabling businesses to apply to HMRC for a grant that covers 80% of furloughed workers’ wages, capped at £2,500 (gross) per month employer’s NICs and minimum pension contributions. The worker is then paid their wages by the employer through its payroll.
The Scheme applies:
· from 1 March 2020 onwards for at least three months;
· only to workers who are on a PAYE payroll and then only to workers who were on the payroll as at 28 February 2020;
· if a worker was made redundant on or after 28 February 2020 the Scheme applies to them but only if they have been rehired by their employer (and they can be rehired in order to be furloughed);
· there are additional provisions dealing with variable pay and employees on leave of various kinds (including maternity).
The current version of the guidance now confirms that both employees and workers (including ‘limb b’ workers) are covered under the scheme. As are:
· Agency workers, including those that supply their services via an umbrella company;
· Office holders, including company directors who are salaried. It would also seem to include the fee-paid judiciary most of whom have received no work (and thus no pay) since lockdown began and some of whom rely upon judicial work as their primary income;
· Salaried LLP members who are classified as employees for tax purposes;
If you want to find out more about your rights as an employee and covid-19, contact one of our Solicitors or Avvocati now on firstname.lastname@example.org and book your telephone or Skype appointment.