Companies will have to pay 25% of furloughed staff’s wages from August under changes expected to be announced this week.
The anticipated moves will also see employers able to bring in workers for as many hours as required as lockdown is eased.
Staff will be paid by their firm for hours worked and will continue to be covered by the Government for hours they don’t.
Chancellor Rishi Sunak is expected to announce the changes this week.
There are concerns they could lead to further pressure on jobs as already-struggling firms seek to minimise costs ahead of a widely-anticipated recession.
Furloughed staff receive 80% of their monthly salary up to £2,500 from the Government, with employers making up the rest if they wish.
At least eight million workers have been furloughed so far at an estimated cost of £80 billion. It’s claimed tensions have opened up between Mr Sunak and PM Boris Johnson over the speed at which lockdown is lifted.
Mr Sunak is understood to be seeking to re-open the economy as soon as possible while Mr Johnson is believed to favour a more cautious approach.
No 10 denied any split.
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