Coronavirus Job Retention Scheme: notice periods
17 July 2020
HMRC has updated two of its pages of guidance relating to the Coronavirus Job Retention Scheme (CJRS) – ‘Check which employees you can put on furlough to use the Coronavirus Job Retention Scheme’ and ‘Check if your employer can use the Coronavirus Job Retention Scheme’ to provide further clarity around notice periods.
The guidance states:
“Your employer can still make you redundant while you’re on furlough or afterwards. Your employer can continue to claim for you while you are serving a statutory or contractual notice period, however grants cannot be used to substitute redundancy payments.”
This means that the guidance now confirms that notice periods being served by furloughed employees that employers can claim for include contractual notice periods, and not just statutory ones. Grants cannot be used, however, to substitute redundancy payments.
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.