COVID-19 employment law and workforce FAQs

These FAQs refer to the situation in England and Wales only.

All information contained in this document is correct at time of publication but all links to external government websites should be checked regularly as official advice is likely to be updated as the situation continues to develop.
1. What if an individual has been in contact with a person who has suspected Covid-19 or has symptoms of the virus?

There is an increasing number of scenarios which may occur in relation to the possible infection of individuals with COVID-19. The Government and the NHS have published detailed guidance on the various situations that may occur. This guidance also changes from time to time. Authorities should therefore refer to the relevant guidance for the particular situation that has arisen at the time it occurs. Links to the guidance are provided below.

Government guidance and NHS guidance for those who have symptoms or a positive test or where a member of their household or support bubble has symptoms or tested positive.

Government guidance and NHS guidance where a person has been told they are a contact of someone who has tested positive for COVID-19.

There is separate guidance for staff in health and social care settings.

It remains the case that employees who are self-isolating as a precaution are expected to carry out work to help provide services to the authority's service users and clients where they can. In the event that an employee’s role cannot be performed from home and they are therefore unable to work because they are self-isolating then if they are on Green Book terms and conditions the National Joint Council for Local Government Services has issued two circulars dated 12 February 2020 Novel Coronavirus: Covid-19 and 12 June COVID-19: return to work, test & trace and admission to hospital setting out advice about the Green Book sickness scheme. Part 2, paragraph 10.9 of that scheme provides:

“An employee who is prevented from attending work because of contact with infectious disease shall be entitled to receive normal pay. The period of absence on this account shall not be reckoned against the employee’s entitlements under this scheme.”

Therefore, these circulars confirm that in the event that an employee is required to self-isolate as a result of Covid-19, the provision above should be applied. Similar, although not identical, provisions apply for fire and rescue employees on Grey Book terms  and school staff on the Burgundy Book.

2. Can an individual who is in a vulnerable group return to work?

The National Employers for local government services issued a circular on 12 August 2020 which covers the position of whether those who are clinically extremely vulnerable or clinically vulnerable (as defined) can return to the workplace.

For those that are clinically extremely vulnerable the circular provides, in line with Government guidance, that they “can return to work, as long as the workplace is COVID secure, but employers should support CEV employees to work from home in the first instance. Consideration should also be given to requests from employees to be based at a site other than their usual workplace.”

The circular also advises, again in line with Government guidance, that those who are clinically vulnerable “should take particular care to minimise contact with others outside their household, so home working may continue to be an important option. Consideration should also be given to requests from employees to be based at a site other than their usual workplace.”

In all cases though employers should check the Government guidance for any updates.

3. How do we respond to our employees who may have to undertake caring responsibilities at very short notice?

In the early stages of the Covid-19 pandemic all schools were closed except to children of critical workers. Many parents had difficulty in reconciling work and caring for their children particularly given the Government advice at the time in respect of shielding which meant that many usual options such as grandparents were not available. From the commencement of the Autumn term all schools have reopened and it is the intention that they shall remain open and function as normally as possible. However, the way that schools function will depend on decisions taken by headteachers and governing bodies who must endeavour to keep schools and the staff and children in them as safe as possible and follow all relevant DFE, PHE and HSE advice. Where there are instances of infections in schools or significant rises in cases in the locality it remains a possibility that individual classes, bubbles or whole schools will be sent home for indefinite periods and so similar issues in respect of reconciling work and childcare will inevitably recur on a smaller scale in various places. As previously with the closure of all schools, the availability of employees who have to be at home to look after their children will depend on their individual circumstances e.g. the working arrangements of their partner, or the availability of other people within the household, such as adult siblings, who may be available or willing to help with childcare at certain times. Some of these employees will be able to do some work from home, again depending on the age of the children and the kind of work and the time that that work has to be carried out. In the current circumstances, employers will want to continue to support their employees in terms of both being flexible in the way that people work but also in terms of the expectations that are placed on people at this very difficult time. It is inevitable that there will be a drop in productivity in some cases, but employers and employees will hopefully be able to come to some arrangement which will allow some functions to be carried out where reasonably possible, such as by allowing someone to work different hours e.g. in the evening. It may also be possible to allocate alternative duties to some home bound employees which would free up other staff to do work which requires a physical presence, or to alter shift arrangements which may allow employees to work at times when there are others who are able to care for their children.

For others who cannot work at home, but have to be at home to look after their children  authorities will want to explore all leave options, including extending any carers’ leave, but once those are exhausted the authority will need to consider whether the continuing time off should be on full pay bearing in mind that there may be local circumstances whereby other employees who are at home but not working may continue to receive full pay.

4. How do we manage any resulting sickness absence?

Except for the situation referred to below for employees on Burgundy Book terms and conditions, where an employee is too sick to work as a result of Covid-19, whether at home or in their place of work, then their absence should be treated as sickness absence.  Initially in the early days of the pandemic employees had difficulty in obtaining sick notes while health services adjusted to priorities and access to services and the Government strongly suggested that employers use their discretion around the need for medical evidence. The Government has now set up a digital method for obtaining evidence of sickness absence or the need to self-isolate. This now provides employees with an alternative where they do not have access to a fit note from their GP. However, there may still be circumstances in which some employees have difficulty in accessing the service and, if so, employers should continue to adopt a reasonable approach and use their discretion around medical evidence where necessary.

In the circumstances, and to help prevent employees from not reporting as sick when they are, many employers may also choose not to take such absence into account for sickness absence management procedures. Further, if an employee’s sick pay entitlement has expired or reduced to half pay, or is about to do so, then authorities are reminded that they have always had the discretion to extend sick pay entitlements in order not to impose financial hardship on employees. 

For Burgundy Book employees who have contracted Covid-19 directly in the course of their employment Section 4, Paragraph 10.1 provides:
“10.1 When the approved medical practitioner attests that there is evidence to show a reasonable probability that an absence was due to an infectious or contagious illness contracted directly in the course of the teacher’s employment full pay shall be allowed for such period of absence as may be authorised by the approved medical practitioner as being due to the illness, and such absence shall not be reckoned against the teacher’s entitlement to sick leave under paragraph 2 above, though such absences are reckonable for entitlement to Statutory Sick Pay.”

If, however, the Burgundy Book employee did not contract Covid-19 in the course of their employment then they should be treated as any other employee.

5. How do we manage staff where we have had to close the service for organisational reasons or due to steps the Government have put in place?

In the early stages of the pandemic some areas of local authority services experienced significant pressures arising from staff being ill or being required to quarantine and also because of various Government requirements in respect of specific functions requiring them to close, e.g. schools, gyms, swimming pools, etc.

As the Government relaxed its measures to restrict coronavirus and encouraged businesses and services to reopen, local authority related services and schools have opened more widely albeit with close attention to hygiene, social distancing or other appropriate measures such as containing staff or pupils in bubbles.

However, it remains possible that Government advice could change at any moment and also that local responses to rising infection rates in a locality or individual workplace or school could again result in some functions being significantly reduced or shut down on a temporary basis. Some aspects of the service may be delivered by employees working from home but where workers are not required to provide the service they are normally employed to do, consideration should be given to whether or not it would be appropriate to redeploy them to those essential services where there may be a need for additional staff, particularly if there is an increase in staff absence. Such redeployment would normally require some form of training including any necessary health and safety information and Personal Protective Equipment if required for the temporary role. If redeployment is envisaged it would be prudent to put as much of this in place as soon as possible and before the need to redeploy arises. (See FAQ 11 for further info on redeployment.)

If it is not currently necessary to redeploy staff, or would not be possible, then employees may be required to stay at home, for which they would continue to receive contractual pay. They should remain available for work and may be called to work at short notice. Any requests for leave should be managed through appropriate channels. Ultimately though should the question of redundancies arise then authorities could consider whether any of the Government’s support schemes can assist to prevent such dismissals. The Government’s Coronavirus Job Retention Scheme has been in place since March and runs until 31 October. Use of this scheme would only be possible at this stage for employees who had already been placed on the scheme previously prior to 30 June although Government guidance made it clear that it did not expect many public sector employers to use the scheme and that while public bodies are continuing to receive funding for staff costs, it expects them to use that money to continue to pay its staff (see FAQ 7 for further details). Therefore while funding remains in place the expectation is that public sector employees should not be made redundant due to the impact of the Covid-19 pandemic or be placed on the Coronavirus Job Retention Scheme.

From 1 November 2020 the Coronavirus Job Retention Scheme is replaced by the Job Support Scheme which will run for six months until the end of April. Its stated aim is to protect viable jobs in businesses who are facing lower demand over the winter months due to Covid-19, to help keep their employees attached to the workforce. Full guidance is awaited but the current Government factsheet on the Job Support Scheme suggests it is available to all employers with a UK bank account and UK PAYE scheme.

6. In the event of the closure of a place of work does an agency worker remain entitled to be paid if other directly employed employees continue to be paid even if they are not working at home?

Whether an agency worker will remain entitled to be paid through their agency will depend first on whether they are entitled to be paid under the Agency Worker Regulations 2010. Broadly speaking those Regulations give agency workers the right to equal treatment in terms of "basic working and employment conditions", as if they had been employed directly by the hirer to do the same job. In many cases this means that agency workers will be entitled to the same rate of pay as a comparable employee, so if a comparable employee is being paid during the workplace closure period, then the agency worker may be entitled to be paid. However, that right only applies after a 12-week qualifying period. To determine entitlement under the Regulations therefore authorities will need to check whether the worker has met that 12-week qualifying period; for details of how that is calculated see number 9 of the LGA’s Agency Workers FAQs.

Importantly though, any entitlement under the Regulations will apply only for the length of the assignment. For example, if a worker was brought in to cover absence for a week, then they would remain entitled only to be paid until the end of that week. To determine the length of the assignment the first step will be to check the agreement between the agency and the authority to see whether that sets out its length. In some cases though the length of the assignment may be more difficult to determine, for example if they were covering sick leave on an open ended basis. In such cases employers may want to make an assessment of how long the assignment might reasonably be expected to have lasted.

Ultimately though in terms of liability under the Regulations for any non-payment, responsibility for providing rights under the Regulations is primarily with the employment agency. However, if the reason the agency worker was not being paid was because the authority unreasonably stopped paying the agency then if a claim was brought by an agency worker then an employment tribunal might well find that the authority was responsible for the breach and so it should be liable for the non-payment or an element of it.

If the worker does not have any entitlement to pay under the Regulations, authorities should still check whether there is any contractual obligation with the agency and/or worker which would require them to continue paying for the worker.

Further the Cabinet Office has issued guidance on payments to suppliers for contingency workers, which includes agency workers (see FAQ 17 below). It may be that following that guidance would mean that if agency workers are unable to work due to COVID-19, for example due to a workplace closure, the hirer would continue to pay the agency for the term of the assignment, up to 80 per cent of their pay rate and a cap of £2,500 per month per worker. It will be up to individual local authorities to decide whether they continue to pay the agency on that basis or otherwise, in the context of whether it is necessary to protect the delivery of critical services from suppliers. However, the latest Cabinet Office guidance (PPN 04/20) makes it clear that public bodies should work in partnership with their suppliers to develop transition plans to exit from any support as soon as reasonably practicable.

In cases where it is not appropriate for the authority to keep paying the agency, it may be that the employment agency will be able to consider using the Government’s Coronavirus Job Retention Scheme (which runs until 31 October) or the new Job Support Scheme which replaces it from 1 November and runs for 6 months until the end of April 2021 ,. Further details of the Coronavirus Job Retention Scheme are in FAQ 7 and the Job Support Scheme in FAQ 20.

7. What is the Coronavirus Job Retention Scheme and how is it being phased out?

The Coronavirus Job Retention Scheme is a Government scheme under which an employer can furlough its employees if it needs them to stop work by reason of circumstances arising from coronavirus. Provided this is done in accordance with Government guidance and the associated HM Treasury Direction, this allows the employer to apply to HMRC for the reimbursement of 80 per cent of their wages, and for the period up to 1 August the associated employer National Insurance Contributions (NICs) and minimum automatic enrolment employer pension contributions, subject to a cap of £2,500 per month. The employer may top up to the full rate of pay should it wish, even if that is in excess of the cap.

From 1 August the scheme is being gradually phased out, and employers have had to start to contribute to the costs of the scheme by paying the employer NICs and pension contributions. From 1 September they  have had to start paying 10 per cent of the employees’ wages (the Government paying the remaining 70 per cent) and from 1 October the employer’s share increases to 20 per cent, prior to the scheme’s closure at the end of that month (when it will be replaced by the Job Support Scheme on 1 November 2020– see FAQ 20).

If an employer is not able to retain an employee the Government guidance provides that it is legitimate to use the Coronavirus Job Retention Scheme for the period of time that someone may be working their notice, whether that be statutory or contractual notice. However, the grant received should not be used to pay someone’s statutory redundancy payment, and those payments must be based on the employee’s normal rate of pay, rather than any reduced rate they were paid during furlough.

If though an employee is retained the Government has announced that employers will receive a one-off Job Retention Bonus of £1,000 for each furloughed employee who returns to work after having been furloughed and who remains continuously employed up to 31 January 2021. Employees must earn above the Lower Earnings Limit (£520 per month) on average between the end of the scheme on 31 October and 31 January 2021. Payments will be made from February 2021.

Although the Government guidance makes no explicit comment on public sector employers claiming the bonus, it does provide:

“An employer will be able to claim the Job Retention Bonus for any employees that were eligible for the Coronavirus Job Retention Scheme and they have claimed a grant for.” It also states that “All employers are eligible for the scheme”.

Therefore, as it applies to any eligible furloughed employee and all employers the expectation is that it should be able to be claimed by public sector employers, including councils and academies. However, we are expecting more guidance on the details of the bonus by the end of September 2020 and the position for public sector employers may be expressly covered in that.

In all cases though where questions about the scheme arise we recommend that authorities read the Government guidance and the HM Treasury Direction on the scheme. They set out which employers can claim, the employees which can be claimed for, how much can be claimed and how to make a claim. In addition, the LGA has produced further information on  the scheme, and the Local Government Pension Scheme has issued advice about the implications of being furloughed on pension contributions and benefits.

8. What responsibilities do employees have to their employers in the current circumstances?

Authorities should provide whatever reasonable support they can to employees to enable them to continue to provide services but, to minimise the risk of infection and absence, employees have a responsibility to:

  • continue to work in line with the organisation’s requirements, if working from home
  • if they are asked by the employer to attend a workplace which is COVID secure and where social distancing measures are in place, to do so, provided they are well
  • be open and honest if they feel that they are unwell with Covid-19
  • be flexible in assisting in the delivery of the authority's services follow general infection control practices and good hand hygiene which can help to reduce transmission of all viruses
  • follow all national guidelines issued at the time on reporting Covid-19 symptoms, treatment, use of public transport, self-isolating etc
  • keep their department informed about any new or continuing sickness absence and the reason for it, in line with the published reporting procedure, and keep any absence to a safe minimum in line with Government guidance to make it easier to maintain services
  • keep their manager up to date with contact details for themselves and next of kin, and help the authority to help them and maintain services by sharing information on any travel arrangements and caring responsibilities
  • keep themselves abreast of information issued by their employers on how it intends to handle the Covid-19 situation.

It is anticipated that employees will, as far as possible within the constraints of workplace closures, caring responsibilities and complying with Government advice on self-isolating and social distancing, continue to perform their duties and be flexible to ensure that services continue to be provided. Personal protective equipment advice should be followed both in relation to COVID-19 and any other risks applying to the roles that employees are asked to perform. If difficulties arise with a refusal to attend work or a refusal to carry out certain duties, managers should ascertain what the concerns are, consider what, if anything, can be reasonably done to address those concerns and take action accordingly, to encourage the individual to work.

If this has been done, but the individual still refuses to attend or perform the task then this may constitute unauthorised absence or partial performance (ie where they are only prepared to carry out certain tasks rather than their full range of duties). This may be a disciplinary issue, which may justify withdrawal of pay. The manager should explain the individual’s contractual obligations and the consequences of refusing to work. If there is still no change in the individual’s position, immediate advice should be sought from HR to ensure an appropriate and consistent approach can be taken.

9. What if the employee refuses to attend work or perform their duties?

It is anticipated that employees will, as far as possible within the constraints of workplace closures, caring responsibilities and complying with Government advice on self-isolating and social distancing, continue to perform their duties and be flexible to ensure that services continue to be provided. Personal protective equipment advice should be followed both in relation to COVID-19 and any other risks applying to the roles that employees are asked to perform. If difficulties arise with a refusal to attend work or a refusal to carry out certain duties, managers should ascertain what the concerns are, consider what, if anything, can be reasonably done to address those concerns and take action accordingly, to encourage the individual to work.

If this has been done, but the individual still refuses to attend or perform the task then this may constitute unauthorised absence or partial performance (ie where they are only prepared to carry out certain tasks rather than their full range of duties). This may be a disciplinary issue, which may justify withdrawal of pay. The manager should explain the individual’s contractual obligations and the consequences of refusing to work. If there is still no change in the individual’s position, immediate advice should be sought from HR to ensure an appropriate and consistent approach can be taken.

10. What about planned absences, such as annual leave?

In some cases planned absences such as annual leave, special leave, flexitime leave, or leave for public duties, (or even compassionate and parental leave in very critical instances) may need to be cancelled or rearranged to ensure sufficient cover can be maintained in certain services. Cancellation will have to be in line with any national advice or guidance and based on the need to maintain necessary services (see the NJC circular 6 March 2020). Leave requests should also be prioritised, e.g. special leave requests for bereavement situations and public duties which must be provided by law, will clearly take precedence over non-critical flexitime or annual leave requests.

As it is necessary to balance the need for work and rest during a prolonged period, this does not mean leave should be automatically cancelled and new requests may be considered. However, leave can be cancelled and turned down, where it is considered operationally necessary, and alternative dates will have to be agreed once the situation returns to normal. This may mean that authorities will need to give retrospective consideration to allowing more leave than normal to be carried forward into the next leave year. Under the provisions of the Working Time Regulations, individuals should take a minimum of 28 days’ leave (including public holidays) per leave year - pro rated as appropriate. However, the Government has temporarily amended the regulations in order to relax the rules around carry over of leave.

11. Can we redeploy individuals?

Covid-19 means a change to local authority service demands and in some cases employee attendance levels. 

Employees are expected to be flexible to ensure that services can be maintained, and early discussions with local trade union representatives about how best to redeploy individuals will help maintain that flexibility. The general principle is that the authority should make the best use of resources to support its communities and that resources should be prioritised towards critical services. Where necessary, employees who are suitably trained or skilled to carry out tasks can be asked temporarily to provide cover if the number of employees available for work who normally provide the service becomes too low. This might apply across sections/departments as well, particularly for those employees who are not able to work in their own area if the service is suspended. In these circumstances the underlying principle is that if someone has an acceptable level of training or skills and knowledge to carry out the basic task, it should in many cases be reasonable to expect them to do it, although it will very much depend on the individual’s circumstances, such as whether they have any underlying condition which might require adjustments in order to perform the new role. The aim is to get the most out of the employees who are fit to work, which will mean employers obtaining flexibility from employees and key considerations in achieving that are:

  • if you need to change an employee's role or job location, the first thing to do is to check the contract to see if it contains a flexibility and/or mobility clause allowing you to make the changes
  • even if it does not have a flexibility and/or mobility clause, if in practice employees routinely change roles or place or work, there may be an implied term that you can change the employees' roles and working location 
  • the authority should also make sure that the employee is sufficiently trained to carry out any new tasks/role and that the necessary risk assessments are in place. HSE has also issued guidance on risk assessments relating to working from home due to Covid-19.

However, the best way of obtaining flexibility is to get employees' agreement to the proposed changes and, therefore, the focus should be on reaching agreements on a framework and protocols on staffing issues with local staff-side organisations. In all cases though, no employee should be pressurised to undertake other duties that they are unfamiliar with and that they do not have the basic skills or knowledge to complete the tasks required.

12. What about bringing in agency workers to cover absences?

It may be possible to use agency workers to cover some absence, although contingency planners/managers must bear in mind that their availability will also be affected in the same way as the authority's employees, and so should work with agencies as early as possible. Any temporary or agency workers brought in should continue to have the appropriate employment checks, for example those with the Disclosure and Barring Service (DBS), carried out before they are employed. Please bear in mind the timescales for completing these checks when planning to use this option and explore any options for accelerating those. All agency employees, including those not required as a result of the closure of services, will need to be managed via the agency. Further information on temporary changes to DBS checks.

13. What if we need people to work additional hours?

Where an increase in absence levels would lead to problematic staff shortages in essential services, line managers should ask for volunteers from existing employees to increase their hours, subject to consideration of health and safety issues. Care should be taken to ensure that those working additional hours do not put their own or others’ health and safety at risk and that they get regular rest breaks. Appropriate pay arrangements should be agreed in advance, unless there is already something applicable in the contract. This may be time off in lieu at a later date, or paid overtime or shift allowance.

14. How can we best support employees?

Employers are under a legal duty to maintain health and safety; this continues to be the case during the Covid-19 situation. Employees are likely to be concerned about the risk of contracting the virus. The employer must take all reasonable steps to protect employees’ health and safety, provide clear and accessible communications about the likely risks and take a supportive view of those who have caring responsibilities. Employers can also provide opportunities for employees to discuss their concerns with their line manager or an occupational health or counselling service.

15. Do we need to put in place special communication measures?

It is important that workers are kept as up-to-date as possible with current Government advice regarding self-isolation and preventing the spread of infection and the steps that the employer is putting in place as a result. There will still be a significant number of workers working at home and others who are working remotely in essential services and therefore the employer should ensure that there are adequate communications channels (for example via text or email) in place to ensure information reaches these people as soon as possible. Workers should be informed about how the employer will communicate important messages to ensure that they monitor these communications channels as appropriate. Employers should also consider how they communicate any relevant information with those who are currently not at work e.g. women on maternity leave.

16. Should casual and zero hours workers be treated in the same way as other employees in terms of pay if they are unable to work?

The expectation is that all categories of worker should be treated consistently with other employees in terms of pay even if they are unable to perform work for the employer, for example because of a workplace closure in circumstances when they are unable to do their work from home. That may mean they will be receiving ‘normal’ full pay during that period. That though raises the question of how that pay should be calculated. Unless the contracts provides for pay in the circumstances in question, which is unlikely, then there is no set way in which employers are required to calculate that pay. Authorities though will want to act reasonably and that could mean either basing pay on any scheduled work for the worker within the relevant pay period, or, basing pay on actual average earnings over a set period of for example 12 or 52 weeks. If that 12 or 52 week average calculation is used authorities should keep in mind that unlike for the calculation of a ‘week’s pay’ for certain purposes under the Employment Rights Act 1996, weeks when the worker did not work can be factored into that 12 or 52 week period.

17. What is the Cabinet Office Guidance on Contingent Workers and do we have to apply it?

The Cabinet Office issued Guidance Notes PPN 02/20 on Payments to Suppliers for Contingent Workers who are unable to work due to the impact COVID-19On 1 July that guidance note was replaced with action note PPN 04/20, which remains in place until 31 October 2020. In summary PPN 04/20 provides that public bodies should review any contractual relief they were providing under PPN 02/20 to determine whether it is appropriate to continue measures in line with PPN 02/20 to maintain the delivery of critical services. However, PPN 04/20 also provides that public bodies should work in partnership with their suppliers to develop transition plans to exit from any support as soon as reasonably practicable. PPN 04/20 applies directly to local authorities so they should be taking those steps. However, as PPN 04/20 indicates that in some circumstances it may be appropriate to continue support in line with PPN 02/20, we set out below a summary of that note.

PPN 02/20 had a similar purpose and effect as the Coronavirus Job Retention Scheme (CJRS) i.e. protecting the livelihoods of contingent workers, such as agency and IR35 workers and, trying to ensure that those who are sick, should be self-isolating or shielding do not go to work, as well as helping to ensure the continued viability of supply. However, as the workers to whom it related are engaged by central government, where funding for those posts normally remained in place, it was deemed inappropriate for the CJRS to be used. Instead the Government instructed its departments, executive agencies and non-departmental public bodies to apply the general principles of the CJRS directly, and to continue to pay contingent workers on a CJRS-like basis. The guidance provided that “Other public sector contracting authorities are encouraged to apply the approach set out in this guidance note.” The extent to which it was therefore appropriate to apply the guidance in any given situation for other public sector bodies, including local authorities, depdended on the individual circumstances of each case.

PPN 02/20 applied to all contingent workers, including those paid through PAYE, umbrella companies and personal service companies (e.g. under IR35 arrangements). It was updated since it was first published to provide that contingent workers who are unable to work due to COVID-19, for example due to sickness, self-isolation, or the temporary closure of offices should be paid 80 per cent of their pay up to a maximum of £2,500 per month. Previously there was not a cap.

Although PPN 02/20 did not apply directly to local authorities, the Government encouraged other public sector bodies to follow this guidance, and that included local authorities although no specific funding was provided for this. Local authorities therefore needed to decide whether it was appropriate for them to follow the guidance, and if so whether to pay at the 80%/£2500 cap rate, or the full 100 per cent rate. 

PPN 04/20 does apply directly to local authorities so, as set out above, they should be reviewing any arrangements put in place under 02/20, with a view to withdrawing them as soon as is reasonably possible, in the context though of ensuring the delivery of critical services are maintained.

Aside from the considerations under PPN 04/20, as referred to in FAQ 6, there may be circumstances where, for example, agency workers, may be legally entitled to 100 per cent of their pay. This may be the case where comparable direct employees are being paid 100 per cent of their pay despite not being able to work and the agency worker has rights to comparable pay under the Agency Worker Regulations. However, in other situations, for example, where the agency worker has not got 12 weeks’ service and is therefore not entitled to comparable pay, the authority may, depending on the terms of the contract with the agency, be able to terminate the assignment or arrange with the agency to pay less for the remainder of the assignment.

In all cases though, the local authority will want to continue to explore whether the contingent worker can be redeployed.

18. What is the NHSC Life Assurance Scheme?

The NHSC Life Assurance Scheme provides a lump sum payment of £60,000 in the case of the death of a frontline health and social care worker caused by coronavirus, where the coronavirus was contracted in the course of their work. It is a standalone scheme and is separate to any other life assurance benefit, for example under the Local Government Pension Scheme.

Employers should ensure that their employees covered by the scheme are made aware of it. Within adult social care the scheme covers staff of organisations registered by CQC to provide personal care and accommodation as well as the staff of non-CQC registered organisations that receive public funding. Within children’s social care the scheme covers child and family social workers employed or engaged by local authorities working in high risk circumstances including agency staff. Similarly, it covers staff of organisations that receive public funding to deliver children’s social care services where there is deemed to be a high risk of exposure.

Applications to receive the benefit should be overseen by the employer, although the claim form is completed by the legal personal representative or solicitor acting for the individual’s estate. Provided then the Secretary of State for Health and Social Care is reasonably satisfied that the eligibility requirements are met, the payment is made to the deceased individual’s personal representatives

Further details of the scheme are available on the LGPS Board website as well the NHS Business Services Authority website, alongside the scheme’s rules.

19. Where an employee is or has been furloughed, can the employer claim under the scheme for the Green Book backdated pay award agreed in August 2020?

No. The rate of pay that a furlough claim is based on is (generally speaking), for fixed rate employees, the actual pay received by the employee in the last pay period on or before 19 March 2020. For non-fixed rate employees, for example those working lots of overtime, the claim can be based on the corresponding month’s earnings from the previous year, or the average monthly earnings from the 2019-20 tax year (which ended on 5 April 2020). Therefore, for fixed rate employees the employer cannot claim for backdated pay awards not actually paid by 19 March 2020, and for non-fixed rate employees, those not paid by 5 April 2020 or in the corresponding month’s earnings from the previous year.

Therefore, even though the Green Book backdated pay award may cover the furlough period in question, it cannot be claimed for as it was not actually paid by any of the relevant dates for the purpose of calculating the rate of pay for furlough purposes. The same will apply to other backdated pay awards agreed for local authority employees after the relevant date in question, and so not paid by that date.

20. What is the Job Support Scheme?

The Coronavirus Job Retention Scheme ends on 31 October. It is to be replaced by the Government’s Job Support Scheme which commences on 1 November 2020 and will run for 6 months until April 2021.

The stated aim of the Job Support Scheme is to protect viable jobs in businesses who are facing lower demand over the winter months due to Covid-19, to help keep their employees attached to the workforce. The company will continue to pay its employee for time worked, but the burden of hours not worked will be split between the employer and the Government (through wage support) and the employee (through a wage reduction), and the employee will keep their job.

The employee must work at least 33% of their hours for the scheme to apply. The Government will then pay a third of hours not worked up to a cap of (£697.92 per month), with the employer also contributing a third. This will ensure employees earn a minimum of 77% of their normal wages, where the Government contribution has not been capped.

Employers using the Job Support Scheme will also be able to claim the Job Retention Bonus for employees if they have previously claimed payments for those employees under the Coronavirus Job Retention Scheme and they retain them in employment until 31 January 2021 if they meet the other eligibility criteria.

The Government has produced a Job Support Scheme Factsheet although further detail of the practical application of the scheme is awaited. For example, the position of its application to local authorities and other public bodies is a little unclear. The factsheet indicates that all employers will be eligible to use the scheme provided they have a UK bank account and UK PAYE scheme. However, much of the language is focussed on business such as references to reduced turnover and restrictions placed on distributions to shareholders while employers claim via the scheme. We shall be seeking clarification on that point.