The updated guidance following the furlough extension has now been published.

The key points and changes are:

  • Employers can agree to retrospectively furlough someone with effect from 1 November 2020, as long as the agreement to retrospectively claim furlough occurs on or before 13 November 2020.
  • From December 2020, HMRC will publish employer names for companies and Limited Liability Partnerships (LLPs), the company registration number of those who have made claims under the scheme for the month of December onwards.
  • There is no limit on how many employees you can claim for.
  • There is no minimum period of furlough but a claim period is a minimum of 7 calendar days.
  • If an individual has had multiple employers in the past year, has only worked for one of them at any one time, and is being furloughed by their current employer, their former employer/s should not re-employ them, put them on furlough and claim for their wages through the scheme.
  • Those wishing to end maternity leave early to be furloughed must give 8 weeks notice and cannot be furloughed until the end of that 8 weeks.
  • You can continue to claim for contractual or statutory notice periods up until 30 November 2020.  However, the Government is changing the approach for claim periods starting after 1 December 2020, further guidance is expected late November 2020 so any notice given after 1 December may not be able to be claimed under the scheme.
  • Reference period for fixed pay workers that were on an RTI submission on or before 19 March 2020 (regardless of if they were previously furloughed or not) is the last pay period ending on or before 19 March 2020.
  • Reference period for fixed pay workers who were new employees hired between 20 March and 30 October 2020, is the last pay period ending any time on or before 31 October 2020.
  • Reference period for variable pay workers who were on an RTI submission on or before 19 March 2020 (regardless of if they were previously furloughed or not),  should be calculated as 80% of the higher of: The wages earned in the corresponding calendar period in the tax year 2019 to 2020 or the average wages payable in the tax year 2019 to 2020.
  • Reference period for variable pay workers who were new employees hired between 20 March and 30 October 2020,  should be calculated as 80% of the average wages payable between 6 April 2020 (or if later, the date the employment started) and the day before they are furloughed on or after 1 November 2020.