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<p>The original policy design of the Coronavirus Job Retention Scheme aimed to sustain
individuals at 80 per cent of their pre-COVID income, up to a maximum grant of £2,500
per month, and the default reference period for the CJRS is that of the pre-COVID
period. For the majority of employees and employers, this means that it is not necessary
to recalculate the basis of the claim. For newer employees under the extended scheme,
it has simply not been possible to extend this default option, hence the reference
period is necessarily different for this group. As with all decisions under the CJRS,
the Government is balancing the need to support as many employers and individuals
as fully as it possibly can, with the need to get the CJRS running quickly and make
it easy to use.</p><p> </p><p>The National Minimum Wage is calculated on the basis
of hours worked and/or time spent training. Under flexible furloughing, furloughed
workers will be paid National Minimum Wage for any hours the individual spends working.
For hours where the employee is furloughed under the CJRS, workers will be paid the
lower of 80 per cent of their reference salary, or £2,500. The terms of the scheme
do allow for employers to make a top-up payment should they deem this affordable and
appropriate.</p><p> </p><p>If workers are required to complete training courses during
the hours they are furloughed, then they must be paid at least the appropriate 2020/21
National Minimum Wage for the time spent training, even if this is more than the 80
per cent of their monthly earnings that will be subsidised.</p><p> </p><p>The Chancellor
has always been clear that the Government would keep the situation under review, adapting
its approach as the context evolved. In January, the Government will review the CJRS
policy, taking into account economic circumstances across the UK.</p>
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