Employer charging back furlough contribution

ThrowRATheatre

Small update:
I am not sure how much of this to discuss but points in reference to some previous comments:
Some shows are currently going ahead with this scheme of charging back furlough. Employees who choose to take redundancy now will not have a reduced wage upon returning, nor will new employees, only those who remain on the furlough scheme. Within communications there is no attempt at hiding that the pay cut is only for furloughed workers and have provided breakdowns of what is to be repaid in direct reference to furlough contribution %s per month, including employers NI and Pension contributions. 
If furloughed employees do not return when the show reopens, which is a date still undetermined, workers will be required to repay the entire furlough amount the company contributed in full within weeks. 

adamp87

Isn’t this illegal or at least it is if the wage drops below minimum as a result..

I don’t understand that they are asking you to pay back NI contributions is that right?

kimwp

beckycole91 said:

I am currently on furlough (Have been since end of March) and have just given in my four week notice to my employer. One of my reasons for doing this are because since April my pay went up to minimum wage even though I should be on slightly more than the sales associates due to my supervisor role in the company. No communication or consent was made and when I raised the issue they wouldn’t change it and basically said no pay increases will be issued so I looked for another job. 

 I was also told in a letter in April that employers are expected to stay with the company as a sign of gratitude for them paying the 20% top up during May but would be expected to pay this back if we leave before then and it would be deducted in our final pay.   

Where do I stand with this and do I have any rights to fight against this?

Hi @beckycole91, you need to start a new thread with your question, not add to this one.

ThrowRATheatre

adamp87 said:

Isn’t this illegal or at least it is if the wage drops below minimum as a result..

I don’t understand that they are asking you to pay back NI contributions is that right?

Yes, they are asking for NI contributions to be repaid as well as the employer's compulsory pension contributions. 

adamp87

Have you spoken to equity about it?

Galloglass

Employees who choose to take redundancy now will not have a reduced wage upon returning, nor will new employees, only those who remain on the furlough scheme.

Are the wage rates of the new employees less than those doing the same job previously?

The issue will come to a head when someone leaves and there is an attempt to recoup the NI/Pension from final pay. It could either be an ET or (some people may try) the Small Claims track. Either way the purpose and thinking behind the scheme will not be known until employees commit to one route or another. 

ThrowRATheatre

Galloglass said:

Employees who choose to take redundancy now will not have a reduced wage upon returning, nor will new employees, only those who remain on the furlough scheme.

Are the wage rates of the new employees less than those doing the same job previously?

Unless the wage rates change for us all, then no they will join at the same basic rate of the job.