It has been confirmed that employees can get another job with another employer whilst on furlough, according to updated government guidance on the Job Retention Scheme.

The government’s furlough Covid-19 (Coronavirus) job retention scheme allows furloughed employees to receive 80% of their salary, capped at £2,500.

The scheme was put in place 1 March 2020 and will cover a period of three months with the possibility of the scheme being extended if necessary.

Under the previous guidance it was clear that if employees had more than one employer, each job should be treated separately, and employees could be furloughed in one job and continue to work in the other.

The updated guidance now extends this and confirms that employees can get another job with a new employer whilst on furlough.

Law firm Farrerr & Co clarifies:

“Employees can only take on another job, however, if their contract/existing employer permits them to do so, and provided the employee is able to return to their original job should their employer end their period of furlough. If employers allow furloughed employees to work elsewhere, the employer may well want to attach certain conditions to the employee doing so in order to maintain some control over the situation.”

The updated guidance, effective as of 4 April, also clarifies some points in the previous guidance, including:

• Employees who were on payroll on 28 February but have since left that job can be re-employed by their old employer and placed on furlough.

• Employees can be furloughed multiple times, provided each furlough period is for a minimum of three consecutive weeks.

• Clarity on the types of individuals who will be eligible to be furloughed.

• Clarity on the types of payments which can be included when calculating wage costs.