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Employers grapple with COVID-19

07 April 2020
Issue: 7882 / Categories: Legal News , Covid-19 , Profession
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More than three-quarters of employers have furloughed some staff or plan to do so, according to benchmarking research by law firm Lewis Silkin into the impact of COVID-19

The firm surveyed 67 in-house counsel or senior human resources leaders across major businesses on their use of the Job Retention (furlough) Scheme, under which the government pays 80% of salary up to a maximum of £2,500 per month. Only 23% of respondents haven’t furloughed anyone and don’t think it will be necessary. Of those making full use of the scheme, only 13% plan to rotate staff who are on furlough at any one time.

More than 65% are topping up the government subsidy, and nearly 45% are topping up to full pay.

Amid stories such as the airline pilot now working as a Tesco delivery driver to help out during the pandemic, 84% of employers said they have no objection if furloughed staff wish to work for the NHS, social care, supermarkets or other essential service. Only 9% of employers have asked staff to undertake training while furloughed.

Those employees still working face considerable uncertainty―more than a third of businesses are seeking to cut pay or hours.

However, employers are also taking the initiative in supporting those working from home, with 84% proactively encouraging social interaction among employees, 73% providing information on safe workstation set up and 29% laying on extra mental health support services.

James Davies, employment partner at Lewis Silkin, said: ‘As businesses adjust to the new normal, minds will inevitably turn to seeking ways to mitigate the longer-term impact of the disruption and even planning ahead for a brighter future.

‘This might include rolling out training initiatives, both to maintain company culture and also to prepare staff for successful re-introduction once they are brought back fully into the workplace.’

Issue: 7882 / Categories: Legal News , Covid-19 , Profession
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