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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Can someone please explain the 80 per cent salary cover

346 replies

noFlowers · 20/03/2020 18:20

Sorry if I'm being stupid but what does this mean!

Does it mean businesses who may lay off staff get 80% of staff salaries to pay them so they can still work.

Or does it mean you lost your job due to all this and you're at home and you get 80% of your salary.

OP posts:
KateF · 20/03/2020 20:30

Just back from a meeting about work. We are now on 80percent hours for 80percent pay. So relieved, at lunchtime I thought my job had gone.

happyandsingle · 20/03/2020 20:30

It would be better if the employee could claim it as opposed to trusting the employer to.

Justanotherlurker · 20/03/2020 20:31

@MarshaBradyo

You have cited an opinion piece, it doesn't negate anything I have said.

There is multiple opinion pieces saying we needed to brace for austerity in 2008, I'm sure you will see the issue if I brought that up as 'fact' that some have tried to do on this thread.

It is widely accepted that this situation could screw over a generation, you also have to put it into the mindset of the previous couple of years of protecting our economy re brexit. No country has come out with UBI as a solution because (here is a hint) it relies on tax income.

Anyone even mentioning it is doing nothing more than trying to politically point score and implement policies via the back door. So far everywhere UBI has been trialed it has failed, it or some equivilent will be needed at some point no doubt, as the situation is at the minute is nothing more than trying to political point score with absolute no understanding of globalised economics, there is already people on this thread trying to provide 'proof' by linking to op-ed pieces.

Snorkelface · 20/03/2020 20:32

I really hope they do something more for the self-employed - many are entitled to less than £300 a month now. The £10,000 grant is only for business owners not freelancers.

thebearwentoverthebumble · 20/03/2020 20:32

Live in the South East so sent this to my pharmacy friends. No domino's in the area are doing it

JuanSheetIsPlenty · 20/03/2020 20:33

It's linked to business rates as I understand it so you have to have premises (my autocorrect tried to write penis there, good job I noticed!)

Thank you! And Grin @ almost penis.

MarshaBradyo · 20/03/2020 20:34

Just it’s not particularly an area I’m interested in, I am in economics just not that (studied ages ago though can’t say I remember it all). But you posted as if you felt strongly so I was curious and googled. I don’t think it sounds great tbh.

Justanotherlurker · 20/03/2020 20:35

It would be better if the employee could claim it as opposed to trusting the employer to.

In the age of social media shaming this isn't a problem, adding an extra layer into this would be a problem, the government actually know what is being payed out in wages so its easier dealing with the employer rather than x amount of employees.

If your employer is that dodgy then this is the time to name and shame.

Iusedtobeapartygirl · 20/03/2020 20:37

@noodledoodler

I was booked for the whole academic year, so until end of July.

I'll email the school on Monday and see what they say.

Thanks all for your help and advice!

MarshaBradyo · 20/03/2020 20:40

So how does self employed work? No matter your earnings you do what? Sign up to what and get SSP

Kahlua4me · 20/03/2020 20:44

The news has taken a load of my mind. We only have 2 permanent employees and one subbie but I really want to help them as much as I can. We are not obliged to stop working but obviously it will get quiet as nobody will want to upgrade any electrics in the next few months so we will only be dealing with issues and faults which may not be enough to pay everyone.

We have had some lovely emails from customers today, wishing us well, so made me feel better.

meredithgrey1 · 20/03/2020 20:44

It's kind of an open invitation for companies who are still fully operational to expect working employees to take a 20% pay cut. Isn't it?

I believe it's for non-working employees. So ones you would have either had on unpaid leave or made redundant. You can't have your staff working full time, earning you money, and claim their salary from the government. I think. I could be wrong.

Justanotherlurker · 20/03/2020 20:49

But you posted as if you felt strongly so I was curious and googled. I don’t think it sounds great tbh.

I called out someone stating UBI was the way to go, so far everyone stating that point has read nothing other than op-eds and has previous with an undercurrent of 'anti-tory', it isn't feeling strongly about anything, it's just trying to offer some balance.

There may be a reason after we have got through this that it might be needed, but for everyone suggesting it now doesn't even have a basic grasp of the situation and are just parroting what they think is the 'right' response, the most telling of the lack of knowledge and just trying to say the correct political opinion is that UBI relies on tax income.

It's a hallow comment that highlights why it's not just daily mail readers who are uneducated.

TripleSeptic · 20/03/2020 20:50

So is it only the business is ordered to close? If you work in a sofa shop and get paid commission, you aren't exactly a key worker, but fewer customers = less threat. The manager is greedy because he might just get a sofa customer. Who closes it? The owner/manager, the staff voting with their feet and self-isolating, or Boris? And under which circumstances does the 80% apply? The staff basic is £500 and they're expected to sell sofas for commission, then the company top them up to minimum wage. Is it 80% of £500 or 80% of minimum wage, or 80% of an average of past salaries? 🤔

JuanSheetIsPlenty · 20/03/2020 20:53

So how does self employed work? No matter your earnings you do what? Sign up to what and get SSP

I think it’s claim SSP and then universal credit to top up the rest? I have already applied for UC on Wednesday. I hope they don’t cancel my claim and make me claim SSP first! Also- they haven’t removed the obligation to look for full time work whisky in receipt of UC. Which would be no problem except all the schools are closed now and as a single parent I have no childcare- so even if I look for work for 35 hours a week- I can’t accept any work!

JuanSheetIsPlenty · 20/03/2020 20:54

Work whisky! Grin that would be nice! I meant whilst.

Snorkelface · 20/03/2020 20:55

It's ESA for self-employed, SSP for employed

BettyIsMyFavouriteSquirrel · 20/03/2020 20:57

If the employers take the grant to pay 80% of the wages then the employees have to be furloughed and cannot do any work.

JuanSheetIsPlenty · 20/03/2020 20:58

So £73.10 instead of £96. Great. And if you apply for esa does that get deducted from your universal credit?

meredithgrey1 · 20/03/2020 20:59

So is it only the business is ordered to close?

I think it's if the business struggles financially because of coronavirus to the extent it basically has to either make people redundant or put them on unpaid leave. Those people will have salaries paid by this. For example, DH works for a company that supplies restaurants and cafes, they've seen pretty much a 100% drop in orders since Monday and almost all staff have been put on unpaid leave. I believe this scheme would pay the wages of the those workers.

Xenia · 20/03/2020 21:00

On thie
"TripleSeptic Fri 20-Mar-20 20:50:14
So is it only the business is ordered to close? If you work in a sofa shop and get paid commission, you aren't exactly a key worker, but fewer customers = less threat. The manager is greedy because he might just get a sofa customer. Who closes it? The owner/manager, the staff voting with their feet and self-isolating, or Boris? And under which circumstances does the 80% apply? The staff basic is £500 and they're expected to sell sofas for commission, then the company top them up to minimum wage. Is it 80% of £500 or 80% of minimum wage, or 80% of an average of past salaries? "

I think it's any business which might otherwise have closed or just has made workers redundant recently - presumably you have to show a coronavirus reason however not just that you are one of the companies which makes redundancies every single week of the year (companies are constantly going bust for other reasons). You can keep your workers on and the state will pay the 80% of wages.

Employer does not have to choose to bother however - could just sack them instead if it prefers.

If the staff are PAYE employees then it is likely to be 80% of the base salary - not commission.

I think there will be a lot more detail on it issues however which we don't know yet. I am just guessing above and it won't help me as I am a sole trader and self employed.

Whether it will help a one person limited company (the director is usually an employee) is another matter. I wonder if you can incorporate over night and then take yourself on and claim the free money if you are in sector hit by the virus.

ButtWormHole · 20/03/2020 21:00

We self employed people need to STFU. We are happy for the perks and less tax when it suits us and now pissed off? Doesn’t work both ways.

JuanSheetIsPlenty · 20/03/2020 21:03

We self employed people need to STFU.

Be my guest.

I’ll carry on pleading my case, thanks. Hmm

Forgone90 · 20/03/2020 21:03

This is fantastic of the govt.. Many many people will sleep better tonight myself included... I had to take 8 weeks unpaid as of yesterday as I work in an airport.. Was lutteralky going to be screwed but now I can see the light at the end of the tunnel :)

TripleSeptic · 20/03/2020 21:07

Thank you @Xenia

I am said sofa shop employee. It's dead, apart from the odd crazy person. I sold one today. It's mostly vulnerable 70 year olds kicking about.

I can't live like this anymore. I just want to go home and lock my family in, and survive the next few months. Literally not die. I'm at work and paying for childcare because no one wants to blink first.