Furlough after being back working less hours

bob_le_bob

Hi

My wife works in retail and was furloughed at the beginning of lockdown.  She’s since been back working on flexible furlough (25 hours instead of 38) and now the shop is due to close again she will be furloughed.

At the beginning her furlough pay was based on the hours she worked the previous year, her employer is now saying under the new furlough it will be based on the hours she has been working during flexible furlough.

The gov website isn’t especially clear, but I thought she would be receiving 80% of 38 hours again, does anyone have any idea of what is correct this time?

Thanks

Jeremy535897

JOB RETENTION SCHEME

• This extended Job Retention Scheme will operate as the previous scheme did, with businesses being paid upfront to cover wages costs. There will be a short period when we need to change the legal terms of the scheme and update the system and businesses will be paid in arrears for that period.
• The CJRS is being extended until December. The level of the grant will mirror levels available under the CJRS in August, so the government will pay 80% of wages up to a cap of £2,500 and employers will pay employer National Insurance Contributions (NICs) and pension contributions only for the hours the employee does not work.
• As under the current CJRS, flexible furloughing will be allowed in addition to full-time furloughing.
• Further details, including how to claim this extended support through an updated claims service, will be provided shortly.
• The Job Support Scheme will be introduced following the end of the CJRS.

From https://www.gov.uk/government/news/furlough-scheme-extended-and-further-economic-support-announced

It should be based on 38 hours, unless her contract of employment was amended to reduce her hours permanently, to which she would have had to agree, but we will have more details shortly.

Grumpy_chap

I agree with Jeremy, it should be based on "normal" hours, as the OP's wife doing shorter hours is presumably on part-time furlough for the "unworked" hours.
However, there will also need to be a change in some way to the criteria as the new qualifying date is on payroll by 30th October, rather than being way-back in March.  There will be a sufficient number of people for whom there is no reference hours in March because of job changes.