Please Note: All information was correct at time of writing on 12 October 2020. We do our very best to make sure our information is as up to date as possible, but we’d encourage you to check out our latest articles and to check the government website for updates as they happen.
Following the announcement of the Job Retention Bonus back in July, and initial details of the bonus released in August, the government published more information on the Job Retention Bonus earlier this month.
Here, we’ll take a look at an overview of the bonus, who is eligible and how businesses can make a claim.
The Job Retention Bonus (JRB) is a £1,000, on-off taxable payment to employers for each eligible employee they furloughed and kept continuously employed from the date of the last furlough claim they made for them until 31 January.
Employers can make a claim for the JRB in respect of any employee who:
Eligible employees must be paid a total of at least £1,560 (gross) throughout the tax months:
An employer can claim the JRB for an employee who has transferred to them if:
HMRC’s guidance states that employers can claim JRB for people other than employees such as workers and agency staff if they submitted a successful claim for them under the furlough scheme and they meet the other eligibility criteria. This is surprising given that true workers cannot be said to be ‘continuously employed’.
If an employer repaid the furlough monies paid in respect of an employee to HMRC, they’re not entitled to claim the JRB for that employee, regardless of the reason for making the repayment.
Employers can claim the bonus between 15 February 2021 and 31 March 2021. If HMRC are still auditing an employer’s furlough claims, they can still claim the bonus but payment may be delayed.
In order to claim the employer must:
The guidance states that supplemental guidance will be issued in January 2021 giving further details on how to submit a claim online.
These are challenging times, especially for employees, business owners and employers. Our team of HR and Employment Law experts provide you with the latest government news to help you work through this difficult period.
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