Furlough scheme set to be extended to September (at reduced 60 percent rate)

[DreamChaser23]

www.telegraph.co.uk/business/2020/05/10/job-retention-scheme-set-extended-september/

An announcement is likely today or tomorrow.

Thoughts?

I think 60 percent is an impossible amount to live on. Not to mention not everyone can go back to work (i.e. no social distancing measures), (the business is still shut) A lot more people will still struggle month to month.

Knowing the Tories I wouldn't be surprised if month by month they reduce furlough from 60 to 40 then eventually getting rid of the scheme...

It needs to be announced this week as employers having to make more than 100 of their employees redundant when the current furlough scheme ends at the end of June , will have to start redundancy consultation next week.

This is awful for those who are shielding. I can't suddenly reduce my outgoings, I will still need to pay bills and buy food and the mortgage company I expect will want paying after the payment holiday

Not impossible. Unpleasant and hard work. Anyone who has had to live on benefits for an extended period of time will tell you the same.

It's pretty tough either way, but 60% is probably better than nothing if the alternative is being made redundant? You can work in another job whilst on furlough too- so could make up some of the difference that way?

If you have two wages coming in then 60% on one of them might be manageable?

People may be able to get short term help like mortgage holidays etc, too?

Some people may become entitled to top up benefits.

I do think it is tough, but given we thought furlough could stop altogether at the end of July, 60% is better than nothing?

I'll.wait to hear it said from a podium. There's been far too much backing and filling. It's too easy to accidentally add to the misinformation.

Sorry, should have started with, I'm on my phone and your link doesn't work, so.... I'll wait etc

There have also been hints previously that the self-employed grant scheme will have its income ceiling reduced down to £30,000 v the £50,000 it is currently, so no more support for those who earn between £30,000 and £50,000 (and that grant only covers till the end of May, so a month less than the 80% furlough scheme).

I imagine is that they want to wean off and have companies gradually taking on paying their employees again as they get back to proper operations, rather than suggesting people should live on 60%. Their 'ideal' will be that employers start topping up themselves, rather than just continue to pay nothing. But the latter is going to be the case for a lot of people

The problem is, I'm not sure there's an easy solution. You can't pay people's wages indefinitely, so there was always going to be a point where the burden is passed back to the employers. But I think it's clear we will see redundancies and people will lose their jobs as a result.

It really worries me as I will be one of the last back in, pub manager, and who the hell knows when that will be. Personally I'll be amazed if they reopen pubs before Xmas.

I understand the scheme isn't sustainable indefinitely, but surely it makes sense to refocus it towards vulnerable individuals and sectors rather than just a blanket wind down?

Well it can’t keep going until vaccine. I thought it would end in June tbh.

I work in a soft play no idea when we will reopen

60% will be fine for lots of people.

Whilst the gross is lower, so will the deduction for tax, NIC, workplcae pension and student loan repayments.

They'll also save money by not having to pay commuting, lunches, clothing etc.

We need something to persuade people back to work and a gradual reduction in furlough is as good a way as any to make that happen.

Do we know if this is Wales too?

We need something to persuade people back to work and a gradual reduction in furlough is as good a way as any to make that happen.

That seems totally fair to all the people who work in those industries that are forbidden from opening. Clearly they’re just lazy and in need of encouragement.

60% would be enough to cover at least our rent, bills and food. No luxuries but I'm used to do that, having been paying nursery fees for nearly 4 years now.

I think my bosses would continue to top up, maybe not to full pay, but maybe 80%. Hopefully others will do the same.

The majority of people could swallow the 20% as their costs have been reduced. Of course there are people, who could not and these people will mainly be on the opposing end of the income gap. A 60% threshold would be the time for anyone, who can to take mortgage holidays. This doesn’t help anyone in rental properties though.

There is no magic money tree.

People haven't chosen to be off work. That comment makes no sense. I am furloughed. I don't need my salary cut to 60% to encourage me to return to work. I am desperate to return to work

I can't be persuaded back to work, I have to shield! And no partner so it's just me paying the bills

Its to encourage employers to have a real think about what their business is going to look like - so they have the chance to make people redundant if they're not going to survive.

I expect the businesses which are ordered to stay closed will have the ability to furlough for a lot longer, but there are a lot of companies who've done it when they could have kept open or operating, it's fair enough to have support if the whole market has dropped, but at some point companies will have to see if they can continue to function, if they need to make people redundant and streamline or if they will just close.

That link says that furloughed staff will be allowed to work part-time. That would be brilliant. Work part-time while you build the business back up, employer pays some, gov pays some.

I am not furloughed, nor is my DH, but I am watching the development of the scheme with interest.

As the furlough schemes rumble on and on, with no political party willing to be the one to pull the rug and bring about mass redundancies, I think furlough may be the beginnings of a Universal Basic Income.

It is going to be really interesting how this plays out. Particularly in Scotland.

Client I thought shielding would only until end of June, then you can go out? There may be some kind of benefit for shielding that isn't furlough. Can none of your role be done from home?

Will it be self employed too? Im tying to work out if we should apply for universal credit or we'd end up having to pay it back or how it works.

All our company want to return to work, but will be the last on the list to be allowed to.

If people that didn't need to be furloughed hadn't been it wouldn't be so bad.