Meet the Other Phone. Protection built in.

Meet the Other Phone.
Protection built in.

Buy now

Please or to access all these features

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:
carlotta43 · 20/03/2020 21:36

Hear hear Peanutbutter. Thrown under the bus.

BarbaraofSeville · 20/03/2020 21:39

We are happy for the perks and less tax when it suits us and now pissed off

Er, many people are freelance or self employed through no choice of their own simply the way it works, no security, sick pay, redundancy etc, just employers exploiting loopholes getting them off the hook of standard employment rights.

DP is in the entertainment industry and faces zero work for the foreseeable. We'll manage because I have a secure income but many won't and little help is available.

PeanutbutterJamSandwich · 20/03/2020 21:45

Oh @JuanSheetIsPlenty we’ll pay for it in the future that’s for sure! Nothing comes for free.

Key Workers have totally be thrown under the bus. It’s a fucking piss take.

caringcarer · 20/03/2020 21:45

I think this is a brilliant scheme. Sunak said it is until end of June but it can go on longer if pubs, clubs, cafes etc are not allowed to open. In 2008 Brown helped out banks but not employees or small businesses. I think Boris is handling this situation very well. My job and dh can both wfh but we feel sorry for all those who can't, and if taxes have to go up when it is all over so be it. It is saving manny peoples jobs s o once over our economy can bounce back.

musicposy · 20/03/2020 21:46

Anyone know if they can then make you make the hours back up later? As that’s what DH’s job are proposing, 80% of pay and you make the hours back over the next 2 years. DH is not young and was quite ill last year and there’s no way he’ll cope with that. But surely they can’t take the grant and then make you also work all the owed hours later on? People are saying it’s because they might call you in now and then so you may not be laid off. We’re wondering whether to take redundancy but we have to agree to the redundancy package fast. It’s such a hard situation and the fact the goalposts are moving every 5 minutes doesn’t help.

caringcarer · 20/03/2020 21:49

The £73.10 id now going up to same rate as stat sick pay.

Snorkelface · 20/03/2020 21:51

@caringcarer - SSP is only marginally more. It's still less than £100 a week.

MereDintofPandiculation · 20/03/2020 21:52

Ohhh now I can see why the self employed are pissed off. Not only the self employed, also the many workers who have already been laid off, some of them only today, just hours before the announcement.

Oh that's great news at least workers have got some protection now. Not those who have been laid off today,

ScrimpshawTheSecond · 20/03/2020 21:52

It's a huge relief.

Bryony22 · 20/03/2020 21:55

I am 27 weeks pregnant and asthmatic and I work in the care industry and can not work from home so at the moment I am currently at home as no way to reduce social contact at work. My company are saying I will have to be put on sick pay but can I claim the governments 80% grant ?

bigchris · 20/03/2020 21:57

@MereDintofPandiculation yes they can, he's back dated the 80 percent to 28 Feb for this reason

IsolatedIzzy · 20/03/2020 21:59

HMRC have been trying to fight the Employed/self employed battle for years - people who should be employees but who are 'self- employed'.
There are 2 different groups those who should be employees but 'employers' tell them they are self employed to avoid sick pay, holiday pay, pension payments etc and then the the people who set themselves up as LTD companies and are paid through their lLTD companies, paying themselves a minimum salary to avoid PAYE, dividends, claiming expenses,

None of it is simple but being self employed has always carried a greater risk, you do pay less tax and National Insurance but you carry the risk that your customers/income can disappear overnight!

Employee may more tax and National Insurance to give them exactly that - Insurance!

We are in an extraordinary situation - even 2 weeks ago we couldn't have predicted this - Let's hope that when things are sorted out these things are looked at properly.

BiarritzCrackers · 20/03/2020 22:07

For the self employed - ESA is only if we are actually sick?

So there is nothing other than going onto UC if the situation is that our businesses have tanked in the last week and for the foreseeable? And UC means depleting our savings first.

Itsmybirthdaytoday20 · 20/03/2020 22:07

Not sure if this has already been mentioned but HMRC state you’ve NOT to be ‘undertaking any work for your employer’ when furloughed so I don’t see how employers can use this as a way to cut pay.

Xenia · 20/03/2020 22:10

This is what the chancellor said
[[https://www.birminghammail.co.uk/news/midlands-news/chancellor-rishi-sunaks-full-speech-17957243]]

We’re setting up a new Coronavirus Job Retention Scheme.

"Any employer in the country – small or large, charitable or non-profit - will be eligible for the scheme.

Employers will be able to contact HMRC for a grant to cover most of the wages of people who are not working but are furloughed and kept on payroll, rather than being laid off.

Government grants will cover 80% of the salary of retained workers up to a total of £2,500 a month – that’s above the median income.

And, of course, employers can top up salaries further if they choose to.

That means workers in any part of the UK can retain their job, even if their employer cannot afford to pay them, and be paid at least 80% of their salary.

The Coronavirus Job Retention Scheme will cover the cost of wages backdated to March 1st and will be open initially for at least three months - and I will extend the scheme for longer if necessary.

I am placing no limit on the amount of funding available for the scheme. We will pay grants to support as many jobs as necessary."

Itsmybirthdaytoday20 · 20/03/2020 22:18

Surely it HAS to also be applicable to the millions of people who will now have to take unpaid leave to home educate their children?

JuanSheetIsPlenty · 20/03/2020 22:26

And UC means depleting our savings first.

Yes. And you still have to look for work even if you can’t accept any due to no childcare!

BiarritzCrackers · 20/03/2020 22:32

I was hoping to buy a home this Spring - renting at the moment. I should be able to buy when my business reboots (which I am confident it will). But to go on UC, I'll have to use up my deposit savings first - whereas if I were employed, I wouldn't. Bloody hell.

2020yearofplenty · 21/03/2020 04:48

The working staff are only earning 20% more than colleagues who were laid off. With transport and other costs and obvious job stress. I almost wish I was in the laid off category .which is a completely crazy and stupid thought to be having

MarshaBradyo · 21/03/2020 06:11

2020 in a cafe for example I don’t think there would be any working staff. In a place that’s not shut yes hard to imagine it working in practise. Knowing I’m working with all the effort and colleague furloughed at 80%. I supposed you’d not have much choice but if the company still has employees why hold more in waiting.

But people are saying already they’ve already been notified? Is that right? So companies must be doing it.

What kind of business are you - pub, cafe etc no workers and closed?

ListenLinda · 21/03/2020 06:33

I think they need to give a bit more clarification.
If I am taking unpaid leave, I am still employed and in my employers pay roll, but I am not working and cannot work for my employer.
How can it be that just because it’s due to childcare that thousands of people don’t apply? Universal credit won’t make a dent as our UC award relies solely on getting childcare, it will up our award a tiny amount, not anywhere bear the level of income we are used to.

And what’s to stop us taking unpaid leave being the first in line for redundancies?

TabbyStar · 21/03/2020 06:52

But people are saying already they’ve already been notified? Is that right? So companies must be doing it.

HMRC sent out an email to all companies last night.

MarshaBradyo · 21/03/2020 06:57

Tabby I mean employees on here rather than companies. Has anyone been contacted by employer straight away? I’m guessing so.

Bookvan · 21/03/2020 07:52

I cant find anything about workers on short time.
90% of my business was been wiped out. What's left has been shared between the staff so they're all on short time.
From what I see, I could make some stay home and pay them 80% while the rest work full time for normal wages.
Doesnt seem fair on the ones still coming in.
Not complaining, as it'll save jobs, but how the hell do I pick which ones stay home and which have to work?!

QuizzlyBear · 21/03/2020 07:59

My DH is a one-man-band limited company and has no contract (his current one ends this week - definitely no more in the pipeline!) and I'm a sole trader with an online shop and zero customers.

As of this week we have no income and - from what I can see - no government help. We have enough savings to pay the mortgage and bills for maybe 6 weeks if we tighten our belts. We could lose our home and I'm terrified with no idea where to find out if we're eligible for anything.