Furlough 80% wages

csgohan4

Thrugelmir said:

csgohan4 said:

Thrugelmir said:

Without the scheme. The streets would be like Hampstead Heath did the other weekend. It's a clever scheme on a number of fronts. The US must have real concerns over civil unrest. Given their hire and fire culture. A friend of mine who works for Quantas out of Sydney has been put on 6 months unpaid leave. Left to fend for herself.  

But it's a scheme without its consequences, more debt for the country and less spending further down the line to pay this off.

Alternative is immediate mass redundancies. As business rescales it's operations. Resulting in a demand in social welfare payments etc. Let alone social unrest. May well be turn out to be one of those once in a 100 year events. That causes a major rethink of what really matters. 

Both have negatives and consequences. Sadly no one size fits all and strange times indeed.

sheramber

If employees are made redundant  they may not be available to rejoin that company when work resumes. Employers would lose the expertise of these employees  and have to train someone  from scratch.
The 80% payment is still  liable to tax and NIC

hazyjo

I find it hard to get my head round. I work for a multi-million pound company. All ten admin have been furloughed (bar one). No way are we all at risk of redundancy. As far as I can see, they just begrudge paying us to sit at home and do very little. Not complaining, I'll now get full salary without having to log on at all for at least one month. Who knows after that, we may take pay cuts or they may not top our salaries up. They'll prob get rid of 3 of us at a rough guess.

Tommy_78

duggan1 said:

The payment isn't to people, it's to the company for wages already paid. So your employer would keep paying you and the Govt will reimburse them 80% of your salary up to £2500 per month. Whether you still get full salary is up to your company and you to agree on, or they can change your contract.

What about permanent employees whose business is still in operation are they entitled to the 80% if they go into isolation?

Thrugelmir

hazyjo said:

I find it hard to get my head round. I work for a multi-million pound company. All ten admin have been furloughed (bar one). No way are we all at risk of redundancy. As far as I can see, they just begrudge paying us to sit at home and do very little. Not complaining, I'll now get full salary without having to log on at all for at least one month. Who knows after that, we may take pay cuts or they may not top our salaries up. They'll prob get rid of 3 of us at a rough guess.

Being multi-million pound just means the company has further to fall. Company finances are actually far more fragile than many imagine. Will the company's customers and suppliers survive this crisis. There's an array of factors outside of the company itself that could influence events. Look out at the wider world. and what's happening now. Just see how many people have no savings and have been living literally a pay cheque away from financial troubles. Culture of spend now pay later has to change. Growth alone doesn't bring prosperity to everyone. 

Getting_greyer

csgohan4 said:

Thrugelmir said:

Without the scheme. The streets would be like Hampstead Heath did the other weekend. It's a clever scheme on a number of fronts. The US must have real concerns over civil unrest. Given their hire and fire culture. A friend of mine who works for Quantas out of Sydney has been put on 6 months unpaid leave. Left to fend for herself.  

But it's a scheme without its consequences, more debt for the country and less spending further down the line to pay this off.

Cutting public spending would be a political choice. 

edgex

Brock_and_Roll said:

Whichever way you look at it, its a "loan" - in the sense that it is costing the government hundreds on billions which will need to be repaid to international lenders. The governments only source of income is of course individuals and businesses tax!

Bank of England is going to buy some of the newly issued debt, which is what is financing the payments.
Central banks everywhere are doing the same.

The plan then is to inflate some of it away.

hazyjo

Thrugelmir said:

hazyjo said:

I find it hard to get my head round. I work for a multi-million pound company. All ten admin have been furloughed (bar one). No way are we all at risk of redundancy. As far as I can see, they just begrudge paying us to sit at home and do very little. Not complaining, I'll now get full salary without having to log on at all for at least one month. Who knows after that, we may take pay cuts or they may not top our salaries up. They'll prob get rid of 3 of us at a rough guess.

Being multi-million pound just means the company has further to fall. Company finances are actually far more fragile than many imagine. Will the company's customers and suppliers survive this crisis. There's an array of factors outside of the company itself that could influence events. Look out at the wider world. and what's happening now. Just see how many people have no savings and have been living literally a pay cheque away from financial troubles. Culture of spend now pay later has to change. Growth alone doesn't bring prosperity to everyone. 

Yeah true. Although they are lawyers with 50+% profit margin and Partners' salaries and bonuses each in the millions. A 10% pay cut across the board I'd get. Saving hundreds on the salaries of the lowest paid workers just seems mean. Honestly, they're fine.

sheramber

Th Government asked employers to furlough any employee that they could do without to avoid people travelling to work  so that they got paid. 
No doubt 10 admin staff are not needed at  present so your employer rightly furloughed  some.

People who are in isolation  for a reason can claim statutory sick pay.  You  cannot get SSP if you just want to isolate

hazyjo

We were not travelling to work though. We were WFH. I thought it was more for those who would otherwise have been made redundant if not furloughed (which is not the case, although there is a risk of one or two going. Definitely not all ten!). Perhaps I'm wrong.