Job Support Scheme (JSS)

Key facts: at a glance guide

  • It is open to small and medium sized businesses (defined as those with 250 employees or less).
  • Large businesses are also eligible if they can prove that their revenue has fallen as a result of coronavirus.
  • Employees must have been on the firm’s payroll since at least 23 September 2020.
  • Will run from 6 months from 1 November 2019 to 31 March 2020.
  • Will top up salaries for employees where their employers can’t afford to take them back full time.
  • To be eligible employees must work at least one-third of their normal hours.
  • The government and the employer will then pay 1/3rd of the remaining wages for the hours that are not worked.
  • The minimum amount of pay that an employee will receive under the scheme is 77% of their normal pay.
  • The maximum amount of government contribution is £697.92 per month.
  • Therefore, anyone who is placed on the JSS at 1/3rd of their normal hours and who normally earns £3,140 per month or below will be able to benefit from the maximum government contribution of £697.92 per month.
  • Under the JSS, the government will pay a maximum of 22% of employees’ wages. This compares to 80% at the most generous stage of the furlough scheme.
  • Employees can be moved on and off the scheme or work different hours. Each separate working arrangement must cover at least 7 days.
  • Employees can not be made redundant or put on notice whilst a JSS grant is being claimed on their behalf.
  • Employers will be reimbursed by the government once the work has been done.

Example:

  • Employee normally works a 36 hour week for a monthly salary of £3,140.
  • If they work 12 hours a week minimum they will qualify for the JSS.
  • They will receive their normal pay for 12 hours, so £1,046.67 for the month.
  • The ‘unworked hours’ total 24.
  • Of these 24 hours, the employer will pay an extra amount equal to 1/3rd, so 8 hours. £697.78.
  • The government will also pay an amount equal to 1/3rd, so 8 hours. Another £697.78.
  • The employee will therefore be paid for 28 hours but will only work 12 hours.
  • Their monthly pay will be 77.8% (£2,442.23) of their normal pay (£3,140).
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