Covid: One in five firms plan job cuts as furlough tapers – survey
Rural England has high levels of hospitality workers, it is harder to find a good job in rural settings due to a lack of employed opportunities, both factors suggest that the final working through of the furlough system has some nasty outcomes in store for rural settings.
One in five firms plan on letting staff go in response to Sunday’s furlough policy change, which will see employers contribute more, a survey has found.
The British Chamber of Commerce said extra training was needed to deal with thousands of redundancies predicted.
From Sunday, government payments reduce to 60% towards salaries, with employers paying 20%.
The government said the approach was “right” and meant “we can focus support elsewhere” as the economy recovers.
According to the most recent figures up to 30 June, about 1.9m workers were on furlough, down from a peak of 5.1m in January.
The government said 11.6 million jobs have been supported since the Job Retention Scheme launched in April 2020.
The scheme is due to close at the end of September.