Being Furloughed, or pay cut
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Discussion

Heartworm

Original Poster:

1,938 posts

184 months

Monday 23rd March 2020
quotequote all
What exactly does being furloughed entail, we seem to be without too much guidance on this at the moment.

Are you still a post b of the company while being furloughed, our company provides healthcare would this still be covered, what are the disadvantages of it?

To keep the company going for up to the next 12 months we have been asked to take a temporary pay cut, buy this is much much less than getting furloughed on the government scheme.

Would it be correct that we wouldn’t be able to do any work during this as to maintain our top client we will still be providing some phone support?

abzmike

11,342 posts

129 months

Monday 23rd March 2020
quotequote all
The furlough term comes, I believe from the US. Our head office in Texas has imposed this on virtually all staff this week. Basically they work week about, for half salary. All benefits, healthcare etc are retained. Key point is that by law they are not allowed to do any work for the company during thier off week - reading emails, taking calls, chatting on WhatsApp about work, strictly forbidden. I’m not sure if they are allowed to take any other work in that time.

Heartworm

Original Poster:

1,938 posts

184 months

Monday 23rd March 2020
quotequote all
abzmike said:
The furlough term comes, I believe from the US. Our head office in Texas has imposed this on virtually all staff this week. Basically they work week about, for half salary. All benefits, healthcare etc are retained. Key point is that by law they are not allowed to do any work for the company during thier off week - reading emails, taking calls, chatting on WhatsApp about work, strictly forbidden. I’m not sure if they are allowed to take any other work in that time.
This is our issue, a huge proportion of our work is project work and our order books are full it’s all been put on hold, we still need to provide the small % of work that is support otherwise we likely won’t get the project work at the other end.

Wonder if we could alternate who does the support on a month by month basis, we are looking long term and just trying to get through this if it lasts longer than the initial 3-6 months being suggested.

Wilmslowboy

4,649 posts

229 months

Monday 23rd March 2020
quotequote all
Heartworm said:
This is our issue, a huge proportion of our work is project work and our order books are full it’s all been put on hold, we still need to provide the small % of work that is support otherwise we likely won’t get the project work at the other end.

Wonder if we could alternate who does the support on a month by month basis, we are looking long term and just trying to get through this if it lasts longer than the initial 3-6 months being suggested.
My understanding is that you can rotate who is furloughed, we plan to do this with some support roles, one month on, one month off.

bridgdav

4,805 posts

271 months

Monday 23rd March 2020
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This link explained it to me..

https://www.businessinsider.com/what-is-employee-f...

Whether this applies to UK employment I’m not sure.

Jasandjules

71,955 posts

252 months

Tuesday 24th March 2020
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The entire answer is not yet clear there are a number of questions which arise, not least given the interchange use of worker and employee in the statements etc which is not the case with employment law - a worker has different rights to an employee.

But fundamentally ask your employer to assign you as a Furlough Employee and go from there...

ETA - the Govt Guidance is not as helpful as could be either but I suppose we are looking at things being made up rather swiftly - Guidance says:

If your employer cannot cover staff costs due to COVID-19, they may be able to access support to continue paying part of your wage, to avoid redundancies.

If your employer intends to access the Coronavirus Job Retention Scheme, they will discuss with you becoming classified as a furloughed worker. This would mean that you are kept on your employer’s payroll, rather than being laid off.

To qualify for this scheme, you should not undertake work for them while you are furloughed. This will allow your employer to claim a grant of up to 80% of your wage for all employment costs, up to a cap of £2,500 per month.

You will remain employed while furloughed. Your employer could choose to fund the differences between this payment and your salary, but does not have to.

If your salary is reduced as a result of these changes, you may be eligible for support through the welfare system, including Universal Credit.

We intend for the Coronavirus Job Retention Scheme to run for at least 3 months from 1 March 2020, but will extend if necessary.

4Q

3,595 posts

167 months

Tuesday 24th March 2020
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Removed and reposted in a more relevant thread

Edited by 4Q on Tuesday 24th March 08:45

oobster

7,569 posts

234 months

Tuesday 24th March 2020
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Surely it's a fair amount of employers best interests to put their UK staff onto furlough as soon as possible?

surveyor

18,596 posts

207 months

Wednesday 25th March 2020
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Wife (Legal Secretary) has just been furloughed. First of many one suspects.

ian996

1,205 posts

134 months

Wednesday 25th March 2020
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I'm on Furlough from 01st April.

Never mind, the unexpected free time will enable me to travel the world, see new sights, meet new people.......oh, bugga.

devnull

3,847 posts

180 months

Wednesday 25th March 2020
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The american corporate i used to work for a few years ago tried to furlough us twice.

Being a UK employee, we simply had the right to say no. Which I did on both occasions.

Very glad I did as the second round of them were used to fund the bosses bonuses and fund buying our competitor which was a hugely disastrous move

Angpozzuto

1,088 posts

132 months

Wednesday 25th March 2020
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Quick question regarding being furloughed, would the £2.5k limit on payments be on our gross income?

156651

11,606 posts

108 months

Wednesday 25th March 2020
quotequote all
Angpozzuto said:
Quick question regarding being furloughed, would the £2.5k limit on payments be on our gross income?
Yes

Thales

619 posts

80 months

Wednesday 25th March 2020
quotequote all
156651 said:
Yes
Has that been officially confirmed?

BigRusko

300 posts

117 months

Wednesday 25th March 2020
quotequote all
Thales said:
156651 said:
Yes
Has that been officially confirmed?
I have been put on 3 weeks furlough starting today.
I would also like some clarification on what pay I would ACTUALLY receive during this time. Our HR are clueless to be fair.

Angpozzuto

1,088 posts

132 months

Wednesday 25th March 2020
quotequote all
BigRusko said:
Thales said:
156651 said:
Yes
Has that been officially confirmed?
I have been put on 3 weeks furlough starting today.
I would also like some clarification on what pay I would ACTUALLY receive during this time. Our HR are clueless to be fair.
I'm in exactly the same situation, tbh I don't think anyone actually knows. I'm hoping my employer will give us the option to possibly use our paid holidays to make up the difference as £2.5k gross salary for a 40% tax payer won't go very far

PF62

4,065 posts

196 months

Wednesday 25th March 2020
quotequote all
Angpozzuto said:
BigRusko said:
Thales said:
156651 said:
Yes
Has that been officially confirmed?
I have been put on 3 weeks furlough starting today.
I would also like some clarification on what pay I would ACTUALLY receive during this time. Our HR are clueless to be fair.
I'm in exactly the same situation, tbh I don't think anyone actually knows. I'm hoping my employer will give us the option to possibly use our paid holidays to make up the difference as £2.5k gross salary for a 40% tax payer won't go very far
www.icaew.com/insights/viewpoints-on-the-news/2020...

Nickbrapp

5,277 posts

153 months

Wednesday 25th March 2020
quotequote all
My company had said that anyone that chooses not to work when there’s work to be done (we’ve been classed as key workers for some reason) will be furloughed and will not be provided any work from the company, essentially they will only get the 80% from the government.

If jobs then mneed to go due to recession or lack of work, those who chose not to work will be first in line for job losses.


I would like to know what happens with pension contributions etc

PF62

4,065 posts

196 months

Wednesday 25th March 2020
quotequote all
Nickbrapp said:
I would like to know what happens with pension contributions etc
Read the link I posted.



Not-The-Messiah

3,648 posts

104 months

Friday 27th March 2020
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I will be on this from Monday my question is can I now go out and get a temporary job with another company for a few weeks?