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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:
PeanutbutterJamSandwich · 20/03/2020 21:09

So you get to sit around on your arse and get paid 80% by government? Whilst key workers get no kind of bonus payments?

Forgone90 · 20/03/2020 21:12

@PeanutbutterJamSandwich oh jog on will you how you possibly not see that this is fro the greater good of the country as a whole... Do you know what... I would rather be in work than at home with a 1 year old and an austistic 10 year old (no idea how my wife does it) ... Going to work would be like a day off

thelittlefox · 20/03/2020 21:12

just Can you recommend some reading for me? I'd rather not join twitter, and am interested in educating myself. I have already agreed with you that I am far from an expert.

Snogood · 20/03/2020 21:13

My DH works for a large (non essential) retail chain. I'll be interested to see how they approach this. So far h/o seem to be comfortably wfh on full salary if they need to look after kids. Shop staff have to take unpaid leave or holiday to look after their kids. The shops are pretty empty but online is busy and full of opportunity. I hope they 'soft' shut the doors from monday and let their employees choose to take 12 wks isolation for 80% govt pay or some other kind of compromise. We are the squeezed middle with both kids and elderly parents to care for. Low wages anyway and empty shelves when we can actually get to the shop after work.

PeanutbutterJamSandwich · 20/03/2020 21:14

@Forgone90 I am in work for the greater good of the country, risking myself and my family becoming infected by working with children who are having to go to school because their parents have to work on the frontline at most risk and there is no, and there will be no financial incentive

TwoZeroTwoZero · 20/03/2020 21:15

How does it apply to supply teachers who are unable to work because the schools aren't open as usual? Are we not entitled to it because we're casual workers?

JuanSheetIsPlenty · 20/03/2020 21:15

Whilst key workers get no kind of bonus payments?

I sincerely hope the govt have something in the pipeline to reward all the key workers for their work during this crisis. Without them the U.K. would grind to a halt and hundreds of thousands would die. That needs to be rewarded. Not just acknowledged.

CaramelEmporium · 20/03/2020 21:16

I wonder if a company takes up this grant do they have to do it for all employees or can they cherry pick a few and let the rest go?

Snorkelface · 20/03/2020 21:18

@JuanSheetIsPlenty I believe that the ESA will get deducted from Universal Credit, that was how it worked before but you'd need to check. I'm not sure how up to date any information is yet on the usual places like Turn2Us, HMRC etc. And do plead you case.

PeanutbutterJamSandwich · 20/03/2020 21:18

Like fuck it will @JuanSheetIsPlenty, in fact I’n willing to bet we all end up paying the price in the bailout in years to come.

I’ve worked tirelessly for my school, I am now losing my 2 week Easter break to stay in school. There will certainly be no reward.

TickTockTickTockT · 20/03/2020 21:19

I can honestly say I am so grateful, I can still pay bills so I will not be getting into any debt. I’m amazed the government has offered this & I appreciate it. It means you’ll get 80% of your salary proving your company applies for it. Most will do

PeanutbutterJamSandwich · 20/03/2020 21:19

Why not give 80% to those losing work and an extra 20% to key workers.

PeanutbutterJamSandwich · 20/03/2020 21:20

Key workers and their families are being screwed over

honkytonkheroe · 20/03/2020 21:20

Do you think this will prevent a company making redundancies or lay-off people they want to (e.g. closing a dept with plans discussed prior to the coronavirus outbreak)? Will it lead to claims on the employees part that they should be getting the 80%.

JuanSheetIsPlenty · 20/03/2020 21:22

Well if there isn’t we must campaign for it. Utterly appalling way to treat the linchpin members of the country if they aren’t rewarded.

turdtimelucky · 20/03/2020 21:24

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

No. It's 80% of your wages. So if you earn 1k a month, you'll get paid 800, while you're 'redundant', once your employer keeps you on the pay-roll. Your employer won't be paying this, the government will.

Confuddledtown · 20/03/2020 21:24

I do think it's a good idea, but at the same time it has its drawbacks.

For instance, my DH is a lorry driver that delivers building materials. The building trade is rapidly decreasing and will soon be non existent through all of this, and he will inevitably be laid off. Through this scheme he might now be paid 80% of his wages.

However, there is a shortage of HGV drivers and an increasing demand for deliveries to warehouses, supermarkets and hospitals.

My husband could easily find more work - work that's much need by society at the moment. But he could be paid 80% of his wages (which given the situation is doable as we no longer need to run a car and have no luxuries, kids clubs, meals/days out to pay for) to be at home and safe with his family. I'm currently pregnant, diabetic and asthmatic so high risk and isolating with our 2 DDs, so the major danger posed to us at the moment is my husband. So it's worth taking the 20% hit for that security.

My point is however, HGV drivers are needed. Supermarket workers are needed. Other jobs are needed that people who are being laid off could be doing, but maybe wont because they equally could survive on 80% of their normal wage and earning the extra 20% isnt enough for them to risk going out there.

It presents a difficult choice as to what is best for us as a family, and what is best for society as a whole. I'd like to think wed take the Nobel approach but given the seriousness of everything going on, I really dont think we would. We would take the 80% and be safe in isolation together.

At the same time, I feel really guilty as it's the NHS workers, supermarket workers, police, social workers, along with all the other key workers that are taking those risks that are enabling us as a family to make that choice, and why should we be able to safely coop away when we could be contributing.

PeanutbutterJamSandwich · 20/03/2020 21:25

@JuanSheetIsPlenty, when have uk population ever been rewarded for anything from the government?.... Just look at our armed forces! Solider’s on the streets! Look at the bank bailout.
It’s all economical, this bailout today will come back to bite us all on the arse.

Justanotherlurker · 20/03/2020 21:27

I’ll carry on pleading my case, thanks.

You can carry on pleading your case, but accept that it can come under scrutiny. I'm sure you are happy to pay more tax when we get out of this situation.

Sickoffamilydrama · 20/03/2020 21:31

As an employer this is great news, I've had so many sleepless nights recently trying to work out how we could help staff but not go bankrupt.
I was planning on implementing short time working/ layoffs from the start of April.

Now I don't, which is great it's an awful situation to be in I now everyone relies on their wages but I also need to ensure that the company survives otherwise no one would have a job to come back to. As an employer you literally have to think right who do I sacrifice so that I can save the rest.

The key to this will be the speed of payments, what takes a business under is not necessarily not making a profit but if you run out of cash. With items not being produced or purchased then no cash is coming in.

The same principles apply for those saying business should top up to make it to full pay. I'd love to do that but if we aren't producing then the money isn't coming in therefore how can we keep paying people eventually the cash will run out, I did some modelling the other night and I worked out we'd go bankrupt in a month if we paid everyone, however if we don't then (obviously depending on what's coming in/ going out) we maybe able to last 4 months possibly even 6 on a full shutdown.

MarshaBradyo · 20/03/2020 21:32

Nothing is fixed though or have people already been informed by their employer? They don’t have to take it up.

I do think it’s better than just a payout to everyone the key is keeping people employed during a sharp shock.

Is unprecedented the word of our time.. or let me be clear

Snorkelface · 20/03/2020 21:34

@turdtimelucky - that's for employed people. Juan is talking about what the self employed get, which is feck all.

MarginalGain · 20/03/2020 21:35

On top of this, eventually there will have to be some incentive for key workers to actually keep on working,

GinandGingerBeer · 20/03/2020 21:35

Has there been any indication yet for those on zero hours contracts? Will they take an average or are you fucked? DS2 is on zero hours but averages about 25 hours per week.

JuanSheetIsPlenty · 20/03/2020 21:36

No. It's 80% of your wages. So if you earn 1k a month, you'll get paid 800, while you're 'redundant', once your employer keeps you on the pay-roll. Your employer won't be paying this, the government will.

I was talking about what’s available for self employed people. Which appears to be £73.10 per week.

You can carry on pleading your case, but accept that it can come under scrutiny.

What scrutiny? Confused I was just told to shut up. No scrutiny involved.

I'm sure you are happy to pay more tax when we get out of this situation.

If that’s what it takes- then that’s what it takes. Why would that be specific to self employed people? Confused is the govt imagining the self employed sector is the key to resolving the impending financial crisis? Grin after granting us a whole £73.10 per week??

when have uk population ever been rewarded for anything from the government?.

When have the govt ever paid 80% of wages before? Never- but needs must and desperate times call for desperate measures.