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FCSA very much welcomes the additional guidance that the government has recently issued in relation to the job retention scheme. Whilst we are hopeful that this will be applicable to umbrella employers there are a number of critical details that need to be clarified, such as:
In addition, if the job retention scheme can be applicable to umbrella employers, there is clearly going to be a very significant cashflow impact due to the delay in being reimbursed by the government. Given that umbrellas will receive no income for their furloughed workers this cashflow issue is going to cause severe financial distress. We are working with the government on what measures can be established so that we can avoid 625k umbrella employees being unable to benefit from the scheme and losing their income.