When does the scheme start
Both schemes will start on 1 November 2020.
Who is eligible
To be eligible, employers must:
- be enrolled for PAYE online
- Have a UK, Channel Island or Isle of Man bank account
- have reached a written agreement with their employee that they have been offered a temporary working agreement. The agreement must be available for view by HMRC on request. This temporary working agreement must cover at least seven consecutive days.
To be eligible, employees must:
- be registered on PAYE payroll between 6 April 2019 and 11:59pm on 23 September 2020. This means a Real Time Information (RTI) Full submission notifying payment in respect of that employee must have been made to HMRC at some point from 6 April 2019 up to 11:59pm 23 September 2020
Additional criteria for Job Support Scheme Open:
- In addition to the above criteria
- an employer with 250 or more employees on 23 September 2020 has undertaken a Financial Impact Test (see section 3.2 for more information) demonstrating their turnover has remained equal or fallen to show they have been adversely affected due to coronavirus; an employer with less than 250 employees on 23 September 2020 is not required to satisfy the test
- some, or all, of their employees are working reduced hours – employees must still be working for at least 20% of their usual hours
Additional criteria for Job Support Scheme Closed:
- In addition to the above criteria
- Your businesses premises have been has been legally required to close as a direct result of coronavirus restrictions set by one or more of the four governments of the UK. This includes premises restricted to delivery or collection only services from their premises and those restricted to provision of food and/ or drink outdoors.
This is not a complete list of all the conditions for eligibility for JSS Closed and further guidance will be published by the end of October.
Job Support scheme Open
This will provide support to businesses that are open where employees are working shorter hours due to reduced demand. Employees will need to work at least 20% of their usual hours.
Employers will pay employees for the hours they work, and the government will pay a contribution of 61.67% of the usual pay for hours not worked, up to a maximum of £1,541.75 per month.
Employers will pay 5% of the usual pay for hours not worked, and can top this up further if they choose.
This means employees should receive at least two thirds of their usual pay for hours not worked.
Employers must have paid the full amount claimed for an employee’s wages to the employee before each claim is made.
The Job Support Scheme grant will not cover National Insurance contributions (NICs) or pension contributions. These contributions remain payable by the employer.
Employees will be able to check if their employer has made a Job Support Scheme claim relating to them via their Personal Tax Account
Job Support scheme closed
Will provide support to businesses whose premises are legally required to close as a direct result of coronavirus restrictions set by one the government. This includes premises restricted to delivery or collection-only services from their premises, and those restricted to providing food and/or drinks outdoors.
The government will fund two thirds of employees’ usual wages for time not worked, up to a maximum of £2,083.33 per month. Employers will not be required to contribute, but they can top up the government’s contribution if they choose to. Employers will still need to cover all employer National Insurance and pension contributions.
Employers must have paid the full amount claimed for an employee’s wages to the employee before each claim is made.
The Job Support Scheme grant will not cover National Insurance contributions (NICs) or pension contributions. These contributions remain payable by the employer.
Employees will be able to check if their employer has made a Job Support Scheme claim relating to them via their Personal Tax Account
How to claim
Employers will be able make their first claim from 8 December 2020 on GOV.UK. Employers will be able to claim from 8 December, covering salary for pay periods ending and paid in November. Subsequent months will follow a similar pattern, with the final claims for April being made from early May.
More detail about this process will be published in guidance by the end of October 2020.
Agents who are authorised to do PAYE online for employers will be able to claim on their behalf.
Full Guidance can be found here – https://www.gov.uk/government/publications/the-job-support-scheme/the-job-support-scheme#eligibility-criteria