CORONAVIRUS - 19.11.2020

Job Retention Bonus scrapped

Withdrawn. In August 2020 the government announced a Job Retention Bonus (JRB) scheme and indicated this would be made available to employers in February 2021. Under the JRB scheme, you would have been able to claim a one-off bonus payment of £1,000 for each eligible furloughed employee still in your employment on 31 January 2021 .

Into next year. However, the government withdrew the JRB when it unexpectedly extended the Coronavirus Job Retention Scheme (CJRS) at the eleventh hour. The CJRS will now run until 31 March 2021 and the government has stated that “a retention incentive will be deployed at the appropriate time” . Further details on the replacement incentive scheme are expected in early 2021.

Tip. If you’ve furloughed employees under the extended CJRS, or intend to, there is no legal requirement to keep them in your employment. Employees can be made redundant during or after a period of furlough.

The planned Job Retention Bonus scheme, which would have enabled employers to claim £1,000 per eligible employee, has now been withdrawn. A new retention incentive for employers is being considered and further details are expected early 2021.

© Indicator - FL Memo Ltd

Tel.: (01233) 653500 • Fax: (01233) 647100

subscriptions@indicator-flm.co.ukwww.indicator-flm.co.uk

Calgarth House, 39-41 Bank Street, Ashford, Kent TN23 1DQ

VAT GB 726 598 394 • Registered in England • Company Registration No. 3599719