Contractor Role - Furlough Help Please!

gda10

For the last 5 and half years I have been working under an agency as a contractor at a head office for a global organisation. My current contract with my agency was due to end on 31st March after which point I was going to be transferred under another employer/agency which was a managed service (but still doing the same role for the same global organisation). A week and a half before my new managed service was due to start I was told it was being put on hold due to Covid 19. I was yet to be given a contract and they said they would pick it back up in June hopefully once this was all over. Therefore, I asked my old agency if they could please take me back on and furlough me. They have said no as they have said they will not be employing me after the furlough period. They are also saying that because it might not be granted they can’t risk paying me upfront until the government grant comes in. Can anyone advise?

Many Thanks. 

poppy12345

It's entirely down to your employer whether they choose to furlough you or not and if they say no, there's nothing you can do. Look at claiming Universal Credit, if you don't have savings/capital of more than £16,000. Use a benefits calculator. https://www.entitledto.co.uk/

If you claim tax credits, this will end if you claim UC.

Council tax reductions can be claimed from your local council.

Jeremy535897

Remember firstly that they don't have to rehire you and furlough you. It is their own choice.

I don't think the point about not employing you after the furlough period is necessarily valid. Lots of ex-employers are rehiring people temporarily who they have no intention of keeping on after furlough. The other issue (payment up front) is usually managed by making the claim before paying the furlough pay, and inserting a clause in the furlough agreement that gives them the right to recover the pay from you if they don't get the grant, or it is clawed back.

BrassicWoman

I wouldn't re-hire as I'd then be liable to pay redundancy later, potentially. Not worth the risk to the employer at 5 years.

But, are you not entitled to a redundancy payment? Was your service continuous?

gda10

Thanks all. I would not be eligible for redundancy so this poses no threat to the employer as I started a new role in June 2019 under a new contract (fixed term contract) prior to taking 2 months off. So essentially, my start date was June 2019 due to a break in service. Thanks for your help.