The Job Retention & Furlough Scheme

The UK Governments Job Retention Scheme was, in short, introduced to support businesses and save jobs during the Coronavirus outbreak. As previously reported by BBC News, using figures from the British Chambers of Commerce, analysis suggests more than nine million workers will be furloughed. The British Chambers of Commerce figures also suggest nearly a fifth of small businesses plan to furlough all their staff. And 50% of companies are putting most of their staff on furlough.

Notably, the cost to the taxpayer is estimated at £30-£40 Billion, over three months.

As of today’s date, the governments coronavirus furlough scheme went live. HMRC chief executive Jim Harra told the BBC’s Today programme, employers had made 67,000 claims within the first 30 minutes.

Did you miss this change to the furlough scheme?

Juggling day to day business responsibilities, with trying to monitor all the coronavirus updates may mean you’re unaware of a recent amendment. So, did you miss this change to the furlough scheme?

As we all know, furloughed staff can’t work. However furloughed staff can now legally and ethically use furloughed time for training, without, in most cases, it impacting the 80% JRS claim*.

In fact training is not only allowed, government guidance actively encourages training furloughed staff.

Perhaps this change by the government is also to help protect the economy. Companies who take this opportunity to invest in training their furloughed staff, are far more likely to come out of this period stronger, than those who don’t.

Furloughed employees should be encouraged to undertake training. 

Furloughed employees can engage in training, as long as in undertaking the training the employee does not provide services to, or generate revenue for, or on behalf of their organisation or a linked or associated organisation.

Extracts from government guidance

Training furloughed staff

Often one of the issues around staff training, particularly for SMEs, is staff are too busy doing their day jobs. This applies to both employee training and leadership coaching.

However, for the first time, many employees of all levels have more time on their hands. Used to working each day, Monday to Friday and for some weekends, they’re suddenly in a situation where they can no longer work.

Previously, time spent training furloughed staff wasn’t covered by the scheme. i.e. like holidays, companies had to pay the salaries of employees for the time they spent training.

Following recent changes, the government has amended this. In most cases, the furlough payment of 80% will provide enough monies to cover training hours. Where time spent training attracts a minimum wage entitlement in excess of the furlough payment, employers will need to pay the additional wages.

In normal times, investing in staff training has multiple benefits. These benefits are multiplied in the current climate. So, I strongly advise taking advantage of the recent changes, use this opportunity to invest in staff training and development.

Those companies that do, will be far stronger than those that don’t, as we return to the new normal.

Benefits of training & development

The benefits of training and developing your company’s talent in normal times include the obvious of improving staff performance, and as a result business performance. It also includes improved employee engagement, productivity, staff retention and benefits your employer brand.

However, in the current Covid-19 period, where many staff and businesses are in a state of suspense, the benefits of employee training and development increases for both employer and employee. These additional benefits include:

• Bringing teams back together
• Stimulating  furloughed employee’s
• Mental health & well-being
• Maintaining & improving business skills
• Reassuring staff about the business & job security

Now’s the time to invest in your team & the future success of your business. 

However, we understand if you’re operating with a skeleton team, you or your leadership team, may not have the time to train your furloughed staff.

If you want professional support getting your team & business on the front foot get in touch.

“We’re in this together”

One of many recent phrases of the Covid-19 era, is “we’re in this together”.

First of all, I have to point out I’m neither a political or economical expert. I’m a small business owner who, like many, is trying to adapt to the impact of the coronavirus outbreak. And at the same time, support our clients anyway we can.

The government financial packages may not be perfect. But they’re an attempt to prevent an economic downturn. As the government have already admitted, they can’t guarantee the security of all businesses. Therefore, in my opinion, as business owners and senior leaders we all need to play our part. Ensuring our businesses are fit and healthy, ready to contribute to the economy, and not be a drain on it.

We’re in this together. We owe it to ourselves and our businesses. Our staff and the UK taxpayer, to make the most of the opportunities available during this challenging time. We’re trying to do our bit to help support the future success of our clients and country. As a result, we’re currently not charging any fees for introductions to our Coaching & Training partners. Better still we’ve negotiated subsidised discounts for strategic leadership support & employee training.

So, whats your business strategy? Are you going to be in the race to the top, or the race to the bottom, as we return to the new normal?

About our training partners

If you want to emerge from the lock down on the front foot, then strengthening your team now is an opportunity too good to miss.

Our training partners have modified existing training modules to be delivered by webcast, or as a group video session. This has the added benefit of bringing teams together, encouraging positive staff engagement. Training sessions include:

• Sales Training (entry to advanced level sessions available)
• Productivity & Time Management training
• Negotiation training
• Presentation training
• Business Planning
• Business Management
• Leadership coaching & mentoring…

Help is also available for those wanting bespoke packages created to deliver training on, for example, their products or services.

If you’d like help identifying and delivering training, understanding the small print to ensure you provide ethical and legal training that’s in the spirit of the JRS, get in touch now.

We’re currently not charging any fees for introductions to our Coaching & Training partners. Better still we’ve negotiated subsidised discounts for strategic leadership support & employee training.

Contact us about your talent attraction, acquisition and development needs, and lets discuss how our range of resource solutions can help you reach your business goals.

*Where training is undertaken by furloughed employees, at the request of their employer, they are entitled to be paid at least their appropriate national minimum wage for this time. In most cases, the furlough payment of 80% of an employee’s regular wage, up to the value of £2,500, will provide enough monies to cover these training hours. However, where the time spent training attracts a minimum wage entitlement in excess of the furlough payment, employers will need to pay the additional wages (see National Minimum Wage Section for more details).