Remain an employee after furlough but no work

Bexm

Hi
My furlough is ending at the end of September but there is no money in the business to pay for me after this due to current situation.
I am the only employee at the moment and as soon as sales resume she wants me back if she can. 
Is there any way to remain an employee but unpaid to keep my service length and rights but with no/little cost to her.
She is happy to do this if possible.

Thanks for any advice
Becky 

p00hsticks

If your contract permits it, or you agree for it to be amended to do so, your employer could temporarily lay you off

https://www.gov.uk/lay-offs-short-timeworking

unholyangel

Or they could amend your contract of employment or agree a period of unpaid leave. Your employer should get advice though - so they can do it properly. 

LeicesterWorker

Hi Becky,
Maybe she can make you a director of the company.
This way you are not bound by the normal rules of employment, such as minimum wage and monthly PAYE.
You will probably loose any chance of any benefits though. I have been furloughed without any income or benefits for 5 months.

Jeremy535897

LeicesterWorker said:

Hi Becky,
Maybe she can make you a director of the company.
This way you are not bound by the normal rules of employment, such as minimum wage and monthly PAYE.
You will probably loose any chance of any benefits though. I have been furloughed without any income or benefits for 5 months.

I take it from all your posts that you are a director of your own company, and paid yourself annually after 19 March 2020, so don't qualify for any COVID support schemes. That is unfortunate, but it won't help you to post on various threads about your own situation.

Thrugelmir

Bexm said:

Hi
My furlough is ending at the end of September but there is no money in the business to pay for me after this due to current situation.
I am the only employee at the moment and as soon as sales resume she wants me back if she can. 
Is there any way to remain an employee but unpaid to keep my service length and rights but with no/little cost to her.
She is happy to do this if possible.

Thanks for any advice
Becky 

Can you renegotiate your contract to a more flexible basis. In order that you can help the business as and when required.  The end of September is some weeks away. Hopefully there'll be signs of the green shoots of recovery by then. 

macman

Zero hours contract? Or, if you have 2 years length of service, would you be better off being made redundant?

Dr_Crypto

Yes you could agree a period of unpaid leave (like BA pilots). Keeps you on the cards and still accruing any time served benefits like enhanced redundancy pay should the worst happen.

epm-84

Bexm said:

My furlough is ending at the end of September but there is no money in the business to pay for me after this due to current situation.
...
Is there any way to remain an employee but unpaid to keep my service length and rights but with no/little cost to her.

I don't know exactly how the rules work but there's the option for employers to get a £1000 bonus for any employee who has been furloughed who remains on the books until at least 31 January 2021.  I think you probably have to be paid each month for your employer to be able to get the £1000 bonus.  Maybe an option to look at could be agreeing to reduce your hours to 1 day per week from 1st October 2020 until either the business situation improves or 31st Jan 2021.

gary83

epm-84 said:

Bexm said:

My furlough is ending at the end of September but there is no money in the business to pay for me after this due to current situation.
...
Is there any way to remain an employee but unpaid to keep my service length and rights but with no/little cost to her.

I don't know exactly how the rules work but there's the option for employers to get a £1000 bonus for any employee who has been furloughed who remains on the books until at least 31 January 2021.  I think you probably have to be paid each month for your employer to be able to get the £1000 bonus.  Maybe an option to look at could be agreeing to reduce your hours to 1 day per week from 1st October 2020 until either the business situation improves or 31st Jan 2021.

To get the ridiculously poorly targeted bonus between November ant the end of January the employee has to be paid on average at least the National Insurance earnings limit, £520 a month