Furlough

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Sorry if I'm being dim, but I don't think I understand.
What os so bad about being furloughed? As I understand it, you get 80% or £2.5k salary, and your job back when this is all over. Is that wrong?

People might not have a job to go back to, that's the worry.

If you've been furloughed it means your workplace has been forced to close or business is so slow that there's no work for you. That's not good for any business long term especially smaller ones with cash flow problems.

The fact that some people barely get by on 100% of their wage?

I've been furloughed as my workplace has been forced to close. Our employer has been pretty clear with us that if we can't reopen by the end of June at the latest the business will go under.

I can't imagine most people would jump for joy at a 20% pay cut. Plus for some businesses it's just keeping them above water - so it's not really a guarantee of a job afterwards.

Yes, it's vastly better than being laid off, and for some people it's working well for them as otherwise they would be struggling with childcare. But it's not hard to see that it's not a perfect situation to be in for many.

If you struggle to get by on 100% of your salary, loosing a fifth of it could be really, really hard.

Overnight pay cut is tough. People base their outgoings on what they earn. It's not the nice to haves, it's the mortgage.

Several things:
-Concern that you might not have a job to go back to
-Some people & families use every penny of their salary. 20% lost is nothing to be sniffed at and will have a massive impact for some, especially if more than one earner is affected
-Some employers are already abusing the system, either by furloughing employees and asking them to work as well, by not paying them the claimed amounts, or by paying in arrears once the claim comes through (meaning a wait from 1st March to May/June before you see your wages)

• The limit of £2,500. For some people this will be a significant reduction. Yes people get by on much less, and normally I have little sympathy for those saying they "struggle" on large salaries, but there aren't many people who can weather a sudden, unexpected and in many cases very large drop in salary.

No-one's saying it's not better than some of the alternatives, and needs must in these circumstances unfortunately, but I can absolutely see how a lot of people would be concerned about the prospect of being furloughed.

Yes, but what about the people getting no help at all? Surely being furloughed is the better option?

Hopefully I'm going to be furloughed this week, I'm not bothered as I hate my job anyway

Well yes, being furloughed is better than being made redundant. But it's still not a good sign long term.

We are some of the workers getting no help, and overnight have had an income loss of nearly £5k a month. (before tax). I do know this is a good salary, but like you say, when you have a good job, your bills tend to be higher.

The government help is capped at £2500 gross per month, equivalent to £30,000 a year gross salary. So if you earn up to about £35,000 you will get 80% of your salary, as that falls under the cap. But some places are topping up to 100%, others are topping up to 80% of your salary if that goes above £2500. It’s up to the business what they can afford. There’s no requirement to furlough your workers, and it has to be that without the help you might have had to make them redundant. This is to help stop that. Some businesses will know there will be no job to come back to, so will make people redundant anyway

I job share and have been furloughed.
It is a receptionist/travel coordinator role among other tasks. Although only being paid 20% with no top up I will not be doing 550 miles per month so will not really notice too much of a shortfall. My concern is that some of the things I
Do will have been given to others to do and when will my colleagues be travelling again and need me to coordinate that for them?

I asked to be furloughed as I wanted to be home with the kids. Manager asked everybody, as some staff needed but not all. Pretty sure I’ll have a job to go back to and won’t miss the 20% as I’m not travelling. I know I’m very lucky.

I also feel very lucky, furlough was the best option for me as a lone parent and I'm saving on petrol/outings etc so will get by OK. I haven't had this much time off since ds was born 11 years ago and am quite enjoying the slower pace of life at the moment and spending time with ds . I actually can't quite believe I'm getting 80% of my salary to stay at home.
Saying that I'll definitely have a job to go back to as we're an essential service, still open and an industry where staff are hard to come by. Might not be quite so happy about it if that wasn't the case.

As a company director I technically could furlough myself. However it I want to a rut have a company to go back to when this is over I have to do some work on it in the meantime which is not allowed. So in order to ensure that all my furloughed staff have a job in a few months time I am working my ass off for no income.
The advantage of furlough is that you can get a second job while on furlough so you could effectively get paid twice.

I earn 20 hrs a week as per my contract and I’m bank staff for around 13-15 hours on top so I’ll lose quite a lot as I’ll o my be eligible for furlough for my 20 hours I believe.

Panicking.

Are you really so dim as to not understand that for millions of people a 20% pay cut means they can’t pay their bills?

Thehop I think its average pay so as long as the bank hours are with your main employer you should be OK. It includes overtime but excludes commission and bonuses.

I'd like to be furloughed but I'm not going to be. Fortunately my employer is flexible and I only have 5 weeks left to work before the end of the year anyway. The worry is if they will need me again or not in September.

@TotesGodsWill but they won't have the costs of working, like travel and childcare, so some people will actually be much better off getting 80% of salary and not having to work.

I’m an executive assistant and was told today I’m being furloughed. I was upset about it initially but then realised I’ll be getting paid in full for at least two months as my employer is topping it up to 100%. Shame as my contract ends in June so I’m hoping I can get another job.

I realise I am one of the lucky ones as I’ve read on MN that people are being furloughed but still having to work which isn’t what is meant to happen!

@wasail you cannot get a second job if you are on furlough - that is absolutely against the rules. Will be obvious to HMRC too!

your job back when this is all over.

Not everyone will have a job to walk back in to. I might not.

The 20% I lose covers my mothers hospital/care home... I will obviously still pay this but struggle to but food after rent and bills come out.

@help1653 I can walk to work and don’t pay childcare but I will struggle to buy food.

totesgodswill
Of course I understand it's not as good as being paid 100%.
But under these extreme circumstances where most people are affected financially, surely being furloughed on 80% is better than the alternative of loosing your job? Or not getting any income whatsoever?

@thewinkingprawn you can take another job while on furlough.

www.gov.uk/guidance/check-if-you-could-be-covered-by-the-coronavirus-job-retention-scheme#while-youre-on-furlough