This toolkit provides guidance for managing furlough and the Job Retention Scheme. It provides links to key information and templates on the website. This information is being continually checked and updated.

Furlough and the Job Retention Scheme (JRS)

On 20 March 2020, the Government announced its plans for financial assistance to help employers retain employees for an extended period of time, although offering no work, and avoid lay-offs due to those affected by the Covid-19 pandemic. The Government’s scheme is called the Job Retention Scheme and aims to avoid lay-offs or redundancies where employers are unable to offer work to their employees.

The Government’s JRS means that employers are able to place their employees on “furlough”. This is a term which is typically used in the US and essentially means putting employees on a temporary leave of absence where they are not required to work but are retained on the books to be brought back in when needed. Employers who do this will be able to obtain a grant from the Government to cover 80% of “furloughed employees” wages, see our Furlough Q&As.

Flexible Furlough

From 1 July, employers can arrange part-time work with staff who are furloughed, or who have been furloughed in the past under the Flexible Furlough Scheme. Staff can now be partly working and partly furloughed. See our How to guide for flexible furlough, Flexible Furlough under the Job Retention Scheme FAQs and Letter to Send to Employee for Flexible Furlough.

Last reviewed 15 September 2020