Full details of the guidance can be found here, however, the key points are:
Company directors with annual pay periods
Company directors paid annually are eligible to claim providing they meet the relevant eligibility criteria. This includes being notified to HMRC on an RTI submission on or before 19 March 2020 which relates to a payment of earnings in the 19/20 tax year.
The requirement for there to be a payment of earnings in the 19/20 tax year applies for any employee claimed for under the scheme, irrespective of the frequency of pay (eg. weekly, fortnightly or monthly). This is relevant for those on an annual pay period if the last payment notified to RTI was before the 5 April 2019 and no further payments were notified until after 19 March 2020. The period between the start of the 19/20 tax year on 6 April 2019 and the CJRS RTI deadline of 19 March 2929 is LESS than 12 months. This means that some directors could be ineligible if there was no RTI submission for 19/20 earnings until AFTER 19 March 2020. This could be the case if companies run annual director payroll/RTI to coincide with the 5 April end to the tax year.
Furloughed employees working as union or non-union representatives
The updated guidance confirms that furloughed employees who are union or non-union representatives may undertake duties and activities for the purpose of individual or collective representation of employees or workers. The furloughed employee however, in doing this must not provide services to or generate revenue for their employer or any linked organisation. This provides much needed clarification for employers who have decided to proceed with redundancy consultation with furloughed employees and were worried that the duties and activities of the employee representatives might invalidate the grant.
Employees transferred pursuant to TUPE transfers after 28 February 2020 are now eligible under the CJRS. Previously employers could only claim for those employees transferred to them after 19 March 2020.
Employees who are taking family related statutory leave
The guidance provides details about calculating the pay of furloughed employees who are taking family related leave. On the 1st May 2020 this was also updated to include further details for those taking shared parental pay and for those employees who are receiving maternity allowance whilst they are on maternity leave.
Furlough leave may be extended
The guidance confirms that each period of furlough leave can be extended by any amount of time whilst the employee is on furlough. However the last date in respect of which an employer can claim under the CJRS will be the scheme end date which is currently 30 June 2020.
If you have any questions about the coronavirus job retention scheme, redundancy or would like to know what your employment rights are, call our employment law specialist, Lisa Aitken for free initial advice. 07960 469988 or email: LisaA@moore-tibbits.co.uk.