The number of people, including agents, being made redundant in the UK has increased sharply in recent months as a result of the economic fallout from Covid-19.
According to the Office of National Statistics, the number of people being made redundant in the UK almost doubled in the three months to August.
The figures reveal that the volume of redundancies increased by 114,000 to hit 227,000, as Covid-19 continues to hit the economy.
However, it transpires that if you have been made redundant, you can be rehired and furloughed by your employer if you were employed as of 23 September, and on the payroll on or before 30 October.
A number of agents across the UK have been made redundant in recent weeks as companies prepared for the end of the furlough scheme on 31 October, prior to the extension to the scheme.
Prime minister Boris Johnson and chancellor Rishi Sunak confirmed last Saturday that the furlough scheme would be extended for a further month during the announcement of the four-week national lockdown in England, before the new deadline of 31 March 2021 was announced yesterday.
The furlough scheme will continue to cover 80% of employees’ wages.
The loophole was discovered by Money Saving expert Martin Lewis.
The details he revealed may not work for everyone but he has urged those affected to have a go where they can.
He Tweeted: “CONFIRMED: If you’ve been made redundant, you can be rehired and furloughed by your employer if you were employed as of 23 Sept, and on the payroll on or before 30 Oct.
“It won’t work for many, but many be worth asking for some.”
It is also worth noting the latest government guidance, updated this week, which suggests that workers may be eligible to apply for payments from the insolvency service if they were furloughed and then made redundant because their employer is now insolvent.
Support is currently available for agents who are worried about or have already been made redundant.
Agents Together recently launched a new Redundancy Bounce Back Series, which is supported by a number of well-known recruitment experts.
Agents Together, which recently hosted a webinar workshop to help people navigating redundancy and bouncing back to work, has also set-up a dedicated support group on Facebook with several experts on hand to answer any important questions around redundancy.
Sarah Edmundson, CEO at Agents Together, said: “Our bounce back from redundancy series has been very well received and we have had lots of messages thanking us for the support we are giving, which truly makes it all so worthwhile.”
She added: “As you can imagine, this has taken a huge amount of organising for our small team, and I am eternally grateful to all those who have assisted and offered their precious time.”
Comments (11)
I’d like to hear from any employer that has done this………………………, still waiting!
To be fair you posted at 19:16 whilst everyone was settling down for the weekend, I think you’ll be waiting a while Gangsta.
Proud to say i have not furloughed a single member of staff throughout this pandemic.
It does irk me those that have made staff redundant for legitimate reasons are being asked to take them back on. Its still a cost tot he business.
My wife, works (in another industry) and she has had many people coming to her for furlough as its see as a paid holiday. Something is wrong with the mentality of some people.
Also i am still finding employers who have furloughed staff and still working them. I am still reporting them.
All fair points.
I fear such measures (in reference to the extension to the furlough scheme) are only serving to ”kick the can” (economically speaking)…further down the road, and at the same time compounding future woes.
This country has been shot to the ground by its current Government, and just as the wound has been bandaged and the bleeding stemmed…fresh shots are fired into the very same spot (and we’ll all be billed for the bullets used against us).
Our economy needs life-support, but all we’re getting are sporadic injections of substandard morphine…and it isn’t working.
I think the move is brilliant. It will also be someone else’s problem to deal with in the future when Boris and friends have cleared off.
Perhaps they can leave a little hand written letter for Kier a bit like Gordon Browns aide Liam Byrne left on his way out “Dear Chief Secretary, I’m afraid there is no money. Kind regards – and good luck! Liam.”
For those employers who have had to have the ‘uncomfortable conversation’ with staff and make some horrible horrible decisions, I hope they can find it in their heart to take the staff back on until March.. You don’t have to see them again if thats how you feel, [Say for example things got pretty heated] – but give them a lifeline; because sometimes it’s just nice to be nice and no one is to blame really.
I’m not suggesting that in the immediate sense this move may not have some use to those benefitting from it, indeed it will. However, the money used for these support packages has to come from somewhere…and will be recouped, further down the line.
The longer this Government continues to deliberately ravage our country’s economy, on the basis of a highly exaggerated, and essentially fraudlent premise…the more debt, the more damage to our social fabric and so on…the higher the cost to us all.
You are correct of course.
Somebody will move the decimal point a couple of places back to the left on the big computer – problem solved.
Its all just numbers on a screen – who does everybody owe all this money to anyway? Who does UK Plc owe the National debt to?
Fact of the day – 2008 UK Bank Bailout Cost – £500Bn
2020 CV19 Cost £210Bn up to Sept with est £10Bn more to come. (Source IFS)
I think when we look at the “cost” of CoV2, we also need to think in terms of the human cost…which is very difficult to quantify, but in my view is the more significant cost.
I fear that this will (it could be argued that it already has) dwarf the monetary cost.
Employers play NIC and pension – so not free at all.
Personally, I can’t see how this is different than stealing from the government (and from us taxpayers). I already heard some agents talking about furloughing themselves while continuing to work full time – this is theft, and I have no doubt that the government will start enforcing stricter checks.
Here he goes again. Martin Lewis recommending that employers take back staff and put them onto furlough even though the job no longer exists. A few weeks ago this was being categorised as fraud.