Can employees on fixed-term contracts be furloughed?
Yes. Their contracts can be renewed or extended during the furlough period without breaking the terms of the scheme.
If the employee’s contract has not already expired, the contract can be extended or renewed. The employee may be furloughed provided that they were employed on or before 30 October 2020. You must also have made a RTI submission to HMRC between 20 March 2020 and 30 October 2020.
If the employee’s contract expired on or after 23 September 2020, the employee can be re-employed and furloughed. Please note that the employee must have been employed by you on 23 September 2020 and you must have made a RTI submission to HMRC between 20 March 2020 and 30 October 2020.
Related FAQs
The reality of these unprecedented times is that enforcement of health and safety legislation by the HSE (particularly through the criminal courts) in relation to Covid-19 is an extremely unlikely outcome.
The Office of the Public Guardian is continuing to accept applications to register Lasting Powers of Attorney but their usual estimated timescale of eight to ten weeks is likely to be affected by the current situation.
Consequently, an alternative or interim measure if you need something quickly is to execute a General Power of Attorney to authorise someone to act as your Attorney to undertake day to day financial transactions for you. The General Power of Appointment only needs to be executed by you in the presence of a witness (not the Attorney) to be valid and does not need to be registered with the Court of Protection. However, the Power of Attorney would cease to have effect if you become incapable of managing your affairs. It should be seen as a stop-gap only.
The Government will allocate £360 million to charities providing key services and supporting vulnerable people during the crisis. £200 million of this amount will be paid to Hospices UK to be distributed to hospices to help increase capacity and give stability to the sector. The remaining amount is to be allocated to:
- St Johns Ambulance to support the NHS
- victims charities, including domestic abuse, to help with potential increase in demand for charities providing these services
- charities supporting vulnerable children, so they can continue delivering services on behalf of local authorities;
- disabled people
- Citizens Advice Bureau to increase the number of staff providing advice during this difficult time
The Government Departments will identify priority recipients, with the aim that these charities will receive money in the form of a cash grant over the next few weeks and by the end of April to assist in paying amongst other costs April’s wage bill.
Yes: The Cabinet Office has published a number of Procurement Policy Notes to provide instructions to Public Bodies to enable payments to continue to be made to at risk suppliers (and their supply chains) who have been affected by Covid-19. Copies of this guidance can be obtained from the Government website at: https://www.gov.uk/government/publications/procurement-policy-note-0220-supplier-relief-due-to-covid-19
You cannot include the following payments in a claim:
- Discretionary bonus or commission payments
- Tips
- Non-cash payments
- Non-monetary benefits including taxable benefits in kind
- Salary sacrifice benefits that reduce an employee’s pay (however HMRC has agreed that such arrangements can be stopped by agreement if due to COVID-19 and the contract is changed)
The updated guidance has confirmed that all of the grant claimed should be paid to the employee in the form of money and that none of the grant is to the used to pay for the provision of benefits or a salary sacrifice scheme.