Two questions about 80% wages

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1. What’s the implications of funding the economy this way? We’ve had years of austerity because we haven’t got the funds - surely it can’t be that easy??
2. What’s to stop being being paid 80% of their salary by the government but still doing the job for their employer (albeit at reduced productivity)?

Hi there.

My tuppence worth:-

1. Massive government debt, BUT... I think they are doing the correct thing. They are treating this like how WW2 was treated - it is a fundamental threat to our existence as a country. Once you lose a massive chunk of your industrial capacity, it is very very hard to rebuild. In addition, new markets suddenly become more attractive - why rebuild in the UK when you could do so in the far east? As such, this looks to me to be a massive attempt to retain our capacity for the future, something that WILL cost trillions, but is necessary for us as a country. Interestingly, one school of thought is that IF we do this and other Western countries (e.g. the US.....) we will be in a very good position to take advantage of any "up tick" when it doesd occur

2. No idea, but I agree - there has to be SOMETHING to stop people/businesses using this as a freebie. I know that for my business, this is a lifeline, but at the same time, wary of those who see it as a gold mine...

We've always had the funds. Austerity was a political choice.

We're a very rich country and we will absorb this with very little loss of lifestyle for most people.

I predict we'll all be offered free broadband by the end of next week

From what I have read the company have to apply for it and they will only apply for it for people who cannot work but for people they will need when things get back to normal.

Point 2 is interesting because we have staff who we need to put onto short hours, there's a few things they can do but their main job is not happening. We await the details but it seems unfair that some have to work full time others nothing and get the same money. We planned to spread the hours out and we go onto 50% pay before the announcement