A reminder about CJRS and notice periods from December

02 December 2020

Under the extended version of the Coronavirus Job Retention Scheme (CJRS), it has been confirmed that for claim periods commencing on or after 1 December 2020, claims cannot be made for any days on or after 1 December 2020 where an employee is serving a period of either contractual or statutory notice.

This also applies to people who are serving notice of either retirement or resignation.

 If an employee begins a period of contractual or statutory notice for their employer which falls on a day covered by a previously submitted claim, then their employer will be required to make an adjustment.

Redundancies should continue to be made in accordance with the normal rules, so this includes giving a notice period and consulting staff prior to a final decision being made. For claim periods that related to November, employers were still able to claim for a furloughed employee who was serving a statutory notice period but grants under the CJRS could not be used for the purpose of substituting redundancy payments.

Where employees are made redundant, their statutory redundancy and statutory notice pay must be based on their normal wages as opposed to their reduced furlough wages.

 


The information in this article is accurate at the time of publication. For all the latest information, news and resources on how the COVID-19 pandemic is affecting payroll professions, visit our Coronavirus hub.