The Government has published a fact sheet on the Jobs Support Scheme which covers the basics of how the scheme will run from 1st November 2020 onwards. The link is available here for the full fact sheet:
The fact sheet deals with the JSS on partial closure but as readers will be aware, the Government has also published an amended JSS scheme that will apply in cases where the business has to shut entirely. Under that scheme the contributions are different. There is a useful article summarising the differences between the CJRS and the two new job support schemes on the BBC website:
Headlines: part-time job support scheme
The idea is to protect viable jobs in businesses facing lower demands over the winter months due to Covid-19:
- The Government will pay one-third of hours not worked up to a cap with the employer also contributing one-third ensuring employees earn a minimum of 77% of their normal wages. (The fact sheet gives a worked example as the figures are slightly confusing).
- The scheme will be open from 1st November 2020 for six months until April 2021.
- There is no need for the employer nor the employee to have previously accessed the CJRS scheme.
- Large businesses will have to meet a financial assessment test and the scheme is only available to those whose turnover is lower now than before experiencing difficulties from Covid-19. Financial assessment tests will not be in place for smaller or medium sized enterprises.
- To cut down on fraud, employees must be on the employer’s PAYE payroll on or before 23rd September 2020 and the real time information submission notifying payment to that employee to HMRC must have been made on or before 23rd September 2020.
- Employees should be able to go on and off the scheme and do not have to have the same working pattern each month but each short time working arrangement must cover a minimum of seven days.
- The Government contribution will be capped at £697.92 per month.
- The calculation of wages will follow the same (complex!) methodology as for the CJRS with calculations based, particularly for those on furlough of late, on their usual wages (not any lower furlough sum).
- Unlike the CJRS, employees cannot be made redundant or put on notice of redundancy during the period within which their employer is claiming a grant for that employee.
- There will be HMRC checks.