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Latest | CIPD welcomes flexible furlough update

CIPD welcomes flexible furlough update

At the end of May, Chancellor of the Exchequer Rishi Sunak took part in a live address to the nation, in which he revealed several updates to the furlough scheme, currently covering the wages of one-quarter of the British public.

In the briefing, Sunak outlined that, whilst furlough has been extended to a cut-off deadline of October, those who wish to continue utilising the Government-backed funds will have to contribute National Insurance and pension contributions in August and then pay ten per cent of wages from September – rising to 20% in October.

Sunak also emphasised that those who were able to return to the workplace should do so – therefore encouraging companies to once again take up 100% of the payment responsibility for staff. He said the Coronavirus Job Retention Scheme (CJRS) will adjust so "that those who are able to work can do so".

Whilst the progression of the furlough scheme and the development of the UK Government’s return-to-work plans have been questioned by some, Peter Cheese, Chief Executive of the CIPD, confirmed that he believes continuing the support is the ‘right thing to do’, but warned that businesses will still struggle.

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