The Treasury have issued guidance in relation to the Job Retention Bonus in brief below:
- The Job Retention Bonus is available to employers in respect of each employee who
- (a) has been on furlough at some point; and
- (b) remains employed, and not under notice, on 31 January 2021.
- HMRC will make a payment of £1,000 to the employer for each eligible employee. This is a bonus to the employer, and the employer does not have to pass it over to the employee.
- To receive the bonus, the employer must have paid a salary of at least £1,560 to the employee between 6 November 2020 and 5 February 2021 (this is to prevent the employer getting a bonus of £1,000 by keeping, say, a zero hours employee on the books and paying them a trivial amount before 31 January 2021).
- A claim for the bonus needs to be presented in a 6 week window between 15 February and 31 March 2021. The Treasury Direction does not specify how the claim is to be made, but further guidance is expected.
For all advice on this please contact our Head of Employment, Sharon Auld, on email@example.com.