Press Release: Extend the Furlough scheme before Friday's redundancy cliff edge

Update: Scheme extended

Liberal Democrat MP Layla Moran has called for urgent clarity on the Furlough scheme in advance of this Friday 15th May (the 40-day statutory deadline to notify staff of major employment changes, such as mass redundancies.)

Layla has proposed a series of measures, including:

  • Extending the Furlough scheme until September to give businesses and employees the ability to plan longer-term
  • Keeping the scheme in its entirety for the tourism and hospitality industry, to offer targeted support to pubs, restaurants and hotels who face an acute crisis.
  • Introduce flexibility to enable businesses to pay for part-time hours worked by their staff, with the Government topping up the difference to the staff members usual hours. (So, for example, if someone is needed only 15 hours, the business would pay that and the Government would pay, via the furlough scheme for the 22.5 hours a week to complete the staff members allotted 37.5 hours a week.)


Lib Dem MP Layla Moran said:
 
“We are facing a crunch deadline on Friday, with the prospect of tens of thousands of redundancy notification letters being sent to workers up and down the country. To avoid this, I’m suggesting a series of measures that would give clarity and flexibility to businesses, and offer continued help to the sectors that need it.
 
“The Government must, in the next 24 to 48 hours, come forward with their plan for the furlough scheme. I am suggesting they keep it in place until September, particularly for the tourism and hospitality industries. They should also introduce flexibility, enabling businesses to pay for part-time hours where suitable, with the Government topping up the rest.
 
“The Government’s current ‘fits and starts’ plan puts a great strain on business owners and employees, both from a financial and mental health standpoint. We need urgent clarity.”

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