Up to a million people were facing uncertainty as the Coronavirus Job Retention Scheme, or furlough, was wound up at the end of last month.
This left employers with various decisions about how to deal with returning workers or indeed if there was a job to return to.
This was despite there being a record amount of job vacancies recorded in August. The nature of some working methods will have changed, and firms will need to work on their recruitment and retention strategies in a different labour market.
Questions HR departments may need to be asking:
What extra support do we provide for returnees?
Many will have been off for months and will need time to reintegrate into the workforce. Refresher courses and other measures to get workers back up to speed may be necessary.
How do we handle redundancies?
Employers have a duty to consult staff in a transparent and fair process laying out the reasons for the redundancy. The process an employer should follow includes collective consultation where appropriate and taking account of employee rights, including notice periods and pay.
Should we make use of flexible working?
Term-time working would allow staff to remain on a permanent contract but offer the chance to take paid or unpaid leave during school holidays. Job-sharing could also mitigate the number of potential jobs losses.
Are we in a position to redeploy staff?
If a position has been lost through the pandemic, it could be that an alternative position could open up for redeployment. It may be that measures such as short time working, temporary layoffs and making use of annual leave hours accrued could be employed until business picks up again.
The end of furlough comes as figures from the Office for National Statistics (ONS) show that a quarter of the workforce had been on furlough at some point between March 2020 and June 2021.
By August 2021, the scheme had supported 1.3 million businesses and 11.6 million jobs.
According to the statistics, those furloughed for more than three months were less likely to be in employment by August 2021 when compared to those who were furloughed for a shorter time. In addition:
- Eight per cent of people who were furloughed at some point were no longer employed in the three months to June 2021.
- Employees with GCSEs as their highest qualification were more likely to have been furloughed than those with degrees or equivalent qualifications.
- The age groups most likely to have been furloughed were those under the age of 24 and over the age of 65. This accounts for 30 per cent of all on furlough and compares with 23 per cent who were aged 35 to 44 years.
- Part-time workers and single parents were also more likely to have been furloughed.
The highest furlough rates remained in industries severely affected by social distancing rules, such as accommodation and food and arts and entertainment.
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