This Coronavirus Job Retention Scheme and Furloughing Staff Letter should
be used to explain an employer’s plan to furlough staff in response to the
coronavirus (COVID-19) pandemic and pay them funds through the Coronavirus
Job Retention Scheme (CJRS). In order to be eligible for the furlough leave
grant, employers must write to their employees confirming that they have
been furloughed. A record of this communication must be kept for five
The CJRS was due to end on 31 October and be replaced by the Job Support
Scheme. However, the Government changed its mind and decided to extend the
CJRS instead. The CJRS will run from 1 November until 30 April 2021.
The purpose of the extended CJRS is that employees can be furloughed if
employers are unable to operate or have no work for employees to do because
In order to qualify for the Coronavirus Job Retention Scheme, employers
will need to:
• Designate affected employees as ‘furloughed workers’, and notify
employees of this change; and
• Submit information to HM Revenue and Customs (HMRC) about the employees
that have been furloughed and their earnings through the online portal.
HMRC will reimburse 80% of furloughed workers wage costs, up to a cap of
£2,500 per month. Employers can choose to top up the remaining 20% of
salary but there is no requirement to do so. As explained in this letter,
the employer will have to seek the employee’s agreement to place them on
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