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Can employer pay me just 85% of my wage after taking me off furlough?

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My employer took me off furlough and is paying me 85% of my contracted wage for the full time contracted hours I do. Can they do that? Also, they took off 5 days of my holiday allowance without letting me know while I was still on furlough and only paid me extra 5% of my wage on top of furlough. I am confused because I can only find information stating that the employer has to pay full wage after taking employee off furlough and pay full holiday pay if they're on holiday while furloughed. I am looking for someone who is confident and has the appropriate knowledge to advise me on this matter.  Thank you.

Comments

  • They can't usually alter your contacted pay without your agreement. Whether you want to disagree is up to you, ideally you want the union backing you.

    As for holiday they can't take it off you. They have to give you advance notice to take holiday and they have to pay you full wage (not 80% furlough). In fact claiming furlough while you are on holiday is fraud. Again, up to you if you want to bring that up, ideally go through your union.
  • Jeremy535897
    Jeremy535897 Posts: 10,733 Forumite
    10,000 Posts Fifth Anniversary Photogenic Name Dropper
    You need to look at the paperwork. It may be your furlough agreement includes or was accompanied by an amendment to your employment contract to reduce your pay to 85% when working.

    An employee can be asked to take holiday while on furlough. Normally there has to be notice of twice the length of holiday to be taken, unless your employment contract says otherwise. It is not fraud. Most employers accept they have to pay employees the pre furlough rate of pay for holiday. See https://www.gov.uk/guidance/holiday-entitlement-and-pay-during-coronavirus-covid-19

    "Holiday pay

    The amount of pay that a worker receives for the holiday they take depends on the number of hours they work and how they are paid for those hours. The principle is that pay received by a worker while they are on holiday should reflect what they would have earned if they had been at work and working.

    Holiday pay, whether the worker is on furlough or not, should be calculated in line with current legislation - see the standard guidance, based on a worker’s usual earnings. The underlying principle is that a worker should not be financially worse off through taking holiday. Where a worker has regular hours and pay, their holiday pay would be calculated based on these hours. If they have variable hours or pay, their holiday pay is calculated as an average of the previous 52-weeks of remuneration excluding weeks in which there was no remuneration."

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