The Government’s’ Plan for Jobs 2020– Our Guide

The Background

As the UK now faces an uncertain future the Government has recognised that the Coronavirus Job Retention Scheme (CJRS) has so far supported over one million employers to protect over 9 million jobs.

The CJRS scheme has been open since March, and will wind down flexibly and gradually, supporting businesses until October. The Government is committed and continually reporting that It is important that people who have been furloughed are supported back to work.

 

In this guide we will help you navigate these schemes and signpost you in the right direction, we only use trusted sources for example Gov.uk, we will provide you with links and or guides.

 

What Schemes are available to me?

The Government has announced schemes protecting jobs and livelihoods. The Plan for Jobs is the next step towards economic recovery and securing the UK’s long-term prosperity.

 

• Introducing a new Job Retention Bonus to encourage firms to keep on furloughed workers
• Introducing a ‘kickstart scheme’
• Introducing a bonus for Employers who recruit Apprentices
• Supporting jobs with direct help to find work and to gain the skills people need to get a job
• Protecting jobs in the hard-hit hospitality and accommodation sectors and at attractions by supporting demand for these businesses, giving them confidence to reopen
• Creating jobs with action to get the property market moving, to increase and bring forward infrastructure investment, and to make homes greener, warmer and cheaper to heat.

 

What are the key schemes?

The Job Retention Bonus

The government is introducing a new Job Retention Bonus to reward and incentivise Employers who keep on their Furloughed Employees.

Employers will receive funding of up to 100% of the National Minimum Wage from the Government.

 

• The Job Retention bonus will be a one-off payment of £1,000 to UK Employers for every Furloughed Employee who remains continuously employed through to the end of January 2021
• Employees must earn above the Lower Earnings Limit (£520 per month) on average between the end of the Coronavirus Job Retention Scheme and the end of January 2021
• Payments will be made from February 2021

 

What else is available to me?

The Government Plan in Supporting Jobs

The Government intends to tackle unemployment and the long-term impact this can have on individuals and families, the plans announced are predominantly aimed at the young people particularly vulnerable due to their lack of experience in work.

The Government is moving at pace to build on their initial response to the pandemic by strengthening existing employment and skills support to help those who unfortunately lose their jobs back into employment quickly.

To address these challenges the Government has an ambitious plan to:

• Support people in finding jobs
• Enable them to gain the skills they need to get jobs
• Provide targeted help for young people to get into work

 

The Kickstart Scheme

There will be the introduction of a new ‘Kickstart Scheme’ to fund the direct creation of high-quality jobs for young people at the highest risk of long-term unemployment.

It will give young people the chance to build their confidence and skills in the workplace, and to gain experience that will improve their chances of going on to find long-term, sustainable work.

This will sit alongside a guaranteed foundation of support through an expanded Youth Offer delivered through DWP, providing a range of targeted support to help young people find lasting work.

 

• For each “Kickstarter” job, the Government will cover the cost of 25 hours’ work a week at the National Minimum Wage
• £4.55 for under 18s
• £6.45 for 18 to 20-year-olds
• £8.20 for 21 to 24-year-olds
• Employer can top up the wages if you want to
• Employers National Insurance & Auto Enrolment Pension contribution costs are covered
• The placement and funding will be for each 6-month job placement
• The scheme starts in August 2020 and ends in December 2021
• To be eligible prior to their employment with you the individual must be on Universal Credit and deemed to be at risk of long-term unemployment

 

Apprenticeship Scheme for Employers

There will be the introduction of a new grant for Employers who take on Apprentices, the new scheme is in line with the Plan for Jobs and to  fund the direct creation of high-quality jobs for young people at the highest risk of long-term unemployment.

The Scheme runs from:

• 01/08/2020 up to 31/01/2021

 

Eligibility

To be eligible for the payments there are criteria that must be satisfied:

• The Apprentice, must not have been employed by you within the six months prior to the Apprenticeship contract start date
• Payments will be made directly to you the Employer in two equal instalments, where the Apprentice is still in learning at day 90 and day 365.
• You will need to claim the incentive payment via the online apprenticeship system from 01/09/2020
• With the 90-day rule, the earliest the first half of the incentive payment would be received for an Apprentice starting in August, would be 30/10/2020

 

How much do you receive?

Any business hiring new Apprentices will be rewarded with a grant of:

• £2k for a 16yrs-24yrs
• £1.5k for over 25yrs

 

These payments will be in addition to the existing £1,000 payment the Government already provides for new 16-18-year-old Apprentices, and those aged under 25 with an Education, Health and Care Plan, where that applies.

We have added the link to Gov.uk to assist you further, this provides the comprehensive guidance in relation to The Plan for Jobs, we have covered the key schemes only.

https://www.gov.uk/government/publications/a-plan-for-jobs-documents/a-plan-for-jobs-2020

What can you do now?

You can make contact with your local college or a training provider to access details of the Scheme, they are live so get ready to recruit, if you need any more information please do get in touch we can assist you with the onboarding, offer letters and contracts of employment.

If you need any help or assistance we are ready to help you, get in touch to have a discussion with one of our team, you can call us on 01254 467156 for an informal chat, you can also email us @ [email protected]