Short Time Working: Coronavirus

(asked on 11th May 2020) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what financial support workers receive if their employer places them on short time working as a result of the covid-19 outbreak.


Answered by
Jesse Norman Portrait
Jesse Norman
This question was answered on 19th May 2020

Workers whose earnings fall due to a reduction in their work hours may become eligible for support through the welfare system, in particular through Universal Credit (UC). Existing UC claimants will normally receive a higher award as a result of a fall in earnings. For employed claimants this will be updated automatically using information from the PAYE system. The Government has announced a package of temporary measures to support those on low incomes through the outbreak, including increasing the UC standard allowance by £20 per week.

The Chancellor has also recently announced that he will introduce more flexibility into the Coronavirus Job Retention Scheme to support the transition back to work, with employers able to bring furloughed employees back part-time from August. The scheme has been extended until the end of October, and will continue to provide the same level of overall support to employees as now, at 80% of their current salary, up to £2,500 a month. The Government will set out the full details by the end of this month.

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