Back in April we wrote about the potential for employers to use the Furlough scheme to subsidise notice costs for employees being made redundant https://pjhlaw.co.uk/2020/04/29/cjrs-notice-and-holiday-pay/.
Under changes to the furlough scheme announced at the end of May, today is the last day on which new employees can be placed on Furlough. Employees who have not been on furlough for at least 3 weeks by the end of this month, won’t be able to be furloughed from 1 July 2020 onwards.
This prevents employers deciding to make redundancies in July onwards and using the furlough scheme to subsidise notice costs unless employees have already had a period of furlough or are currently on furlough. This has partly closed the loophole we wrote about in April, but there remains the potential for the furlough scheme to subsidise notice periods of already furloughed employees who are made redundant over the next few months.
If you need advice about redundancy or furlough, please get in touch email@example.com.