Self Employed AND Pre-Contracted for Employment over Summer, not yet cancelled. Can I be furloughed?

LukeyHear

As above, Registered SE but have summer job that pays less than 50% of annual.
Summer Employer has offered a lump sum which is less than 80% of usual wage, with an option to work should restrictions be lifted. Half paid now, half at end of October. Job is working for a Festival which has now been cancelled and I would normally Work June to early September. The contract was signed early Feb and has a 4 week cancellation for both parties.
The future for performing arts/events looks incredibly grim so I am trying hard to do my very best to survive through this.
Can I be furloughed as SE?
Is it possible I could be furloughed and claim a 2nd wave of SEISS should that be extended also? 
Any thoughts warmly welcomed.

poppy12345

Criteria for SEISS is here. https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme

Grumpy_chap

You can only be furloughed from PAYE job, but would you have been on the PAYE payroll at the correct dates to qualify?  Has the employer made this lump sum as a discretionary payment?  I am finding that part very confusing.

With regard to self-employment, has that been for long enough that it was included on your 2018-19 tax return?  If so, SEISS should be possible.

If you qualify for both SEISS and CJRS then I understand both are available and neither stops the other from being claimed.

LukeyHear

Thanks Grumpy, I have been SE for more than 5 years to date. I have been accepted for the recent wave of SEISS.
 The summer job would have been PAYE though I don't believe I have yet been added to the Payroll for June start. My manager has offered me the lump sum as a new contract instead of employment with a goodwill, non-enforced option to some work in Sept Oct, should that work be possible. I think they have potentially messed up by not cancelling my contract earlier which should begin in 2 weeks. 
Good to know CJRS and SEISS may be possible.

poppy12345

To be furloughed for PAYE your employer will have needed to make a RTI submission by 19th March. If this didn't happen then you can't be furloughed.

Thrugelmir

Probably waited as long as possible to see how events unfolded. The only alternative is that your contract gets cancelled. A sign that they don't wish to lose your services when times improve. 

LukeyHear

Thanks Poppy, I take it this applies to the furlough extension as well? 

Jeremy535897

LukeyHear said:

Thanks Grumpy, I have been SE for more than 5 years to date. I have been accepted for the recent wave of SEISS.
 The summer job would have been PAYE though I don't believe I have yet been added to the Payroll for June start. My manager has offered me the lump sum as a new contract instead of employment with a goodwill, non-enforced option to some work in Sept Oct, should that work be possible. I think they have potentially messed up by not cancelling my contract earlier which should begin in 2 weeks. 
Good to know CJRS and SEISS may be possible.

The comment about CJRS and SEISS not ruling each other out is true, but the point was also made that you had to be on the payroll at the correct time to be eligible for furlough. The basic rule is that you had to be paid at some time from 6 April 2019 to 19 March 2020 by your summer employer to be furloughed by them, and not had a P45 in the meantime (although if it was issued after 28 February 2020 they could rehire you and furlough you, at their discretion). It looks more like the lump sum and income stream will not be part of a job at all, in which case you would not be able to be furloughed. They would have to pay 80% of your reference salary (as defined) to qualify for CJRS anyway.

Grumpy_chap

Yes, it sounds like the OP has been very lucky and the lump sum is being paid as a goodwill gesture from the summer work employer trying to do the right thing even though the work looks like it wont be able to go ahead.

LukeyHear

Thanks Jeremy, looks like I should hold tight to see if they will cancel my contract or not. I did not accept the lump sum agreement yet and have requested why I am not being put on furlough. Time may tell!
Much obliged, Luke

poppy12345

LukeyHear said:

Thanks Poppy, I take it this applies to the furlough extension as well? 

Yes it does.