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Coronavirus Job Retention Scheme – Your rights in Redundancy

Summary of the Scheme

The Coronavirus Job Retention Scheme (CJRS) was introduced by the Government on 20 March to assist businesses who were impacted by Covid-19. This allowed employers to “furlough” their employees and make a claim from HMRC for 80% of their wages (limited to £2,500 per month) to be passed to the employee. The purpose of this scheme was to retain employees and avoid redundancies, so that once business picked back up the employees could recommence their role. Due to upcoming changes to the scheme, it is predicted that a lot of employers will look to make redundancies.

Redundancy during furlough – Your Rights

It is possible for your employer to make you redundant whilst you’re on furlough leave, however it is important that your employer still complies with the usual requirements for making redundancies in order to ensure that the dismissal is lawful. Recently, there has been much confusion around the calculation of notice pay for those on furlough leave being made redundant. The impact of getting this wrong is that it can result in the dismissal being wrongful and you having the right to bring a claim.

The position in relation to notice pay during furlough is complex and depends on the specific circumstance. Some examples are as follows:

As is apparent, the provisions regarding the amount of notice payable if you are made redundant whilst on furlough leave are quite complex, which is why you should seek legal advice if you find yourself in this situation. It is also key to consider whether your dismissal was fair or unfair, and whether it is in fact for redundancy purposes or for a different reason, masked as redundancy. It should also be noted that your statutory redundancy payment would be calculated in a similar way to your notice pay, depending on your situation.

When to take advice

If your employer has made you redundant or is proposing to, we recommend that you seek legal advice without delay, especially if you feel as if there is some underlying reason for your dismissal.

Here at Winrow Solicitors, we are experts in Employment Law, and will be able to manage any matter from initial instruction all the way through to Tribunal if necessary. If you have been affected by anything discussed above, please contact us on 01286 872779 or send us a message on our website or Facebook page and we will be able to advise you on your situation.

Call us for advice on 01286 872779 or send us a message