Furlough payments discrepancy

rodpurcell33

Hi all,
Could anyone advise as to why my furlough payment amounts have steadily dropped month on month to where the last one is around £120 a week lower than the first back in april??
Thanks!

jimkelly

Your employer has been pocketing the difference - illegally - would be my best guess.

Whatever you got in month 1, at 80%, should be what you get each and every month.

Jeremy535897

jimkelly said:

Your employer has been pocketing the difference - illegally - would be my best guess.

Whatever you got in month 1, at 80%, should be what you get each and every month.

That depends. If OP is a fixed rate employee, reference salary is based on the last pay period prior to 20 March 2020, so is constant. But if OP is not a fixed rate employee, reference salary is based on the higher of the average pay for 2019/20 (up to the date of first furlough) and the equivalent period in the previous year, so it can change. Have a look at your personal tax account to check it agrees to what you actually received. Also remember that what you are paid depends on your contract of employment, as amended by any furlough agreement, not what can be claimed under CJRS (but your employer is not allowed to pay you less than 80% of your reference salary, or £2,500 a month if lower, if they want to claim under the CJRS).

Illusionary

jimkelly said:

Your employer has been pocketing the difference - illegally - would be my best guess.

Whatever you got in month 1, at 80%, should be what you get each and every month.

Not if you normally work variable hours and/or earn variable amounts.

@rodpurcell33 - what is your usual working and pay pattern, and can you be specific about the furlough pay that you have received? Ultimately, you may just need to ask your employer to explain. 

rodpurcell33

This was through an agency so zero hour contract, was paid weekly then to monthly on furlough but was paid 5 weeks first payment, then 4weeks for next 3, then 5 weeks for last and final one.
On payslip went from 675 a week for first down to 499 for last??

Illusionary

rodpurcell33 said:

This was through an agency so zero hour contract, was paid weekly then to monthly on furlough but was paid 5 weeks first payment, then 4weeks for next 3, then 5 weeks for last and final one.
On payslip went from 675 a week for first down to 499 for last??

Okay - this may well provide a legitimate explanation for what you're seeing. If you earn variable amounts, broadly your furlough payments should based on 80% of the greater of:
 - Your average pay throughout 2019/20
 - The amount that you were paid in the same pay period last year

Were you with the same employer a year ago? If so, compare the pattern of your pay at that time to what you're now seeing.

I also note that it seems that your employer is being quite generous and 'topping up' your pay, as the maximum that can be claimed under the Job Retention Scheme is £576.92 per week.

LeicesterWorker

As long as they don't go under the minimum wage.

nyermen

Just a thought - were they paying 100% originally, and have reduced since (but not below 80%)?

Illusionary

LeicesterWorker said:

As long as they don't go under the minimum wage.

NMW doesn't apply for those who are fully furloughed, as by definition they're working for zero hours.