Coronavirus Job Retention Scheme - Job Retention Bonus update
- Details
CJRS: Job Retention Bonus
On 5 November 2020, the Government announced that the Coronavirus Job Retention Scheme will continue until 31 March 2021. As a result, the Job Retention Bonus will no longer be paid in February 2021. However, a further retention incentive may be arranged at a later date.
On 1 October 2020, the Treasury issued a Treasury Direction regarding the Job Retention Bonus. The Treasury Direction can be found here. The Job Retention Bonus aims to “enhance and consolidate the purpose of the CJRS” by giving employers £1000 for each ‘qualifying employee’.
‘Qualifying employees’ are those who:
- Have been on furlough;
- Remain employed on 31 January 2021; and
- Are not on notice of termination on 31 January 2021.
In order to claim the Job Retention Bonus, employers must have made at least one payment, to the relevant employee, in each of the three Job Retention Bonus periods (“the relevant 3 month period”):
- 6 November – 5 December 2020;
- 6 December – 5 January 2021; and
- 6 January 2021 – 5 February 2021.
The total value of payments made during the relevant 3 month period must be at least £1560.
Employers must claim for the Job Retention Bonus between 15 February and 31 March 2021.
Government guidance in respect of the Job Retention Bonus was published and can be found here. The guidance offers further information regarding:
- Employees you can claim for;
- The minimum income threshold; and
- Getting ready to claim.
The guidance is due to be updated at the end of January 2021 to provide information on how to access the online claim service.
