Furlough questions

[Leo Avisina]

Hope someone could help.

We finally opened back up in November after being closed for about 3 months ( different issues from staff self-isolating, safety certifications needing updating, me and my partner getting the big bad Rona - still recovering - 8 weeks later, lots of things basically) only to have to shut again a week later. Our staff are specially trained so we kept them on, we applied for furlough and topped up wages personally. One of our oldest members of staff wouldn't come back unless his hours were increased, he kind of runs the show and it would be a big loss to us if he left so we agreed. So after working his new hours the first week back in November we are again shut. Will be applying for furlough again, but as he was in the old scheme on his old hours, is it possible for us to apply on the extended scheme on his new hours? It's a difference of 32 hours. Really can't afford that, we are still topping up the rest of our staff wages and October has us spent what's left of our BBL and we are now dipping into our OD.

Literally not got a penny coming in.

Don't really know what the future holds and whether we should just give up and close shop, really don't want to have to do that, can't bear the thought of making our staff redundant most of which are like family. I know once we are allowed to open back up, business will pick up but it's not looking good for the imminent future.

Will my staff be better off on benefits? Trying to find a new job? Or staying on furlough? Don't know why but I always get an icky feeling when applying for furlough, like I can see there's no light at the end of the tunnel.

Any sorry for the doom and gloom. Thanks in advance.

 

[DanTheMan]

No. If the employee was on your payroll prior to 19th March 2020, or you made a claim for JRS for that employee prior to 31st October 2020, you must use the amount on the last pay period prior to 19th March 2020. That's if they are fixed pay.

If their pay varies, the calculations are different but would still be based on RTI information submitted prior to 19th March 2020.

 

[A2Z]

A member of staff that you pay.... blackmailing you... 'running the show'.. demanding more hours... are you serious?

Sounds like you have a lot of bigger problems than furlough if that's how you run a business.

 

[Leo Avisina]

No. If the employee was on your payroll prior to 19th March 2020, or you made a claim for JRS for that employee prior to 31st October 2020, you must use the amount on the last pay period prior to 19th March 2020. That's if they are fixed pay.

If their pay varies, the calculations are different but would still be based on RTI information submitted prior to 19th March 2020.

Thanks so much for your help. Couldn't find the info anywhere or might have come across it and it's gone over my head.

 

[Leo Avisina]

A member of staff that you pay.... blackmailing you... 'running the show'.. demanding more hours... are you serious?

Sounds like you have a lot of bigger problems than furlough if that's how you run a business.

No, he's not all that bad, staff are all a bit nervous and anxious ATM so I cant blame him and he's been with us since the very beginning, through our very hard times when my partner was very sick. We do have problems but it's the same as many many other folks and businesses are going through. Not sure what the future holds but just don't feel great using the furlough scheme when there's a very big chance we might not get up and running again. Ever.

Going to be a very difficult few months and I can't let people go right before Christmas. Need to see if it's best now to start selling equipment if we are going to call it quits, that will cover the BBL and almost all redundancy pay. Sad times.

 

[Maundie]

While I commend you for topping up staff members wages it's not great that by doing that you will eventually be bankrupt and be forced to close, if you couldn't afford it surely getting the 80% with a view to having a job to come back to when all this is over is infinitely better than getting 100% for a few months and then the business folds for your staff.

If people can't survive on the 80% the were free to get temporary jobs supermarket picking or delivery driving etc. while on reduced wages (I know of at least 8 people who have done that).

What do you that has 1 member of staff 'running the show'?

 

[sigma]

Yup, I’d stop topping up their wages ASAP. Probably wouldn’t have done it in the first place if it means you could survive for longer.

Are you able to get financial assistance/a loan?

I hope you can work out a way to survive.