It has come to our attention that HMRC have sneaked in a restriction on being able to claim CJRS grants for periods an employee is under statutory notice i.e. notice for redundancy/termination of employment.
Up to 30th November 2020 (today) employers can claim the CJRS grant for periods where an employee is in a statutory notice period. Employees would have to be paid 100% for this period but the employer could claim 80% back. This applies to just the notice period, not any redundancy pay due.
From 01st December 2020 this is no longer allowed.
This has evidently been introduced to make it more costly for employers to make staff redundant, encouraging them to keep staff on rather than apply any blanket redundancy procedures and then search for staff at a later date if demand picks up.
If you have any queries please get in touch.
Tel: 01392 360008