With the government slowing easing the lockdown restrictions, many employees are becoming concerned about their job security and them returning to work after the furlough scheme comes to an end. The purpose for government introducing the furlough scheme was to assist employers retain employees and prevent redundancies. Below are a few answers to questions that may assist.
1Can I return to work before the furlough scheme ends?
It is important to remember that being on furlough means that your employment is continuing. You can request to return to work as your consent to being furloughed was required in the first instance. However, your employer may elect to make your positon redundant and terminate your employment.
2I am currently on furlough and am concerned what happens when it ends?
The purpose of the scheme is to assist employers financially to pay for salaries up to £2,500 for each employee per month. When the scheme comes to an end, the financial assistance will no longer be available. If your employer request that you return to work, you must do so. Alternatively, your employer may elect to make your position redundant and terminate your employment.
3My employer has not put me on furlough. Can he do so now?
It is possible for an employer to place you on the furlough scheme. The scheme is available until 30 June 2020. Thereafter, only employees who have been on the furlough scheme for 3 week prior to this end date, ie by 10 June 2020, will be allowed to be furloughed. However, this can only be done with your consent. If you do not consent, your employer will have to elect whether to allow you to continue working or whether to terminate your employment, eg on the grounds of redundancy.
4I am/am not on the furlough scheme. Can my employer still make me redundant?
An employer can elect to make redundancies whether or not an employee is on the furlough scheme. However, the employers election to make redundancies must not be unfair and they must follow the correct consultation process.
5What is the process if my employer make me redundant?
Your employer must follow the correct statutory process for making redundancies. Failure to do so may render the redundancy as unfair. Your employer must give notice to all employees considered for redundancy informing them of their decision to make redundancies and that your position is one to be considered. You must be invited to a consultation meeting to discuss the proposed redundancy allowing you to make representations as to why your position should not be made redundant. Your employer must also consider whether there is any other position within the company that can be offered to you as an alternative to redundancy. Once a decision has been made, your employer will write to you informing you of their decision. If the decision is to make you redundant, your employer should set out what your redundancy entitlement will be and invite you to enter into a compromise/settlement agreement recording the terms upon which your employment is being terminated.
6What would my redundancy entitlement be?
This very much depends upon many factors. Firstly, your contract of employment may specify contractually what you are entitled to receive. To qualify for statutory redundancy, you must qualify by having at least 2 years continuous employment. Assuming you do qualify, your entitlement is calculated according to your age, number of years of continuous service and your weekly salary. There is however an upper limit of £538 per week and a maximum redundancy payment of £16,140.