Here's how businesses can claim 80% wages for staff during the coronavirus pandemic

As the economic effects of the ongoing coronavirus pandemic continue to be felt, the UK government has introduced a number of measures to help businesses both large and small to stay afloat during these most uncertain times.

One such initiative is Coronavirus Job Retention Scheme, designed to help employers if they cannot cover staff costs due to Covid-19.

It’s aim is to avoid redundancies, and the scheme can offer grants of up to 80% of an employee’s wage for all employment costs, up to a cap of £2,500 per month.

Here’s everything you need to know about it:

How does the Coronavirus Job Retention Scheme work?

Under the Coronavirus Job Retention Scheme, all UK employers will be able to access support to continue paying part of their employees’ salary for those employees that would otherwise have been laid off during the crisis.

Which business are eligible?

All UK businesses are eligible.

How can my business access the scheme?

You will need to:

- designate affected employees as ‘furloughed workers,’ and notify your employees of this change - changing the status of employees remains subject to existing employment law and, depending on the employment contract, may be subject to negotiation

- submit information to HMRC about the employees that have been furloughed and their earnings through a new online portal (HMRC will set out further details on the information required)