We all know the global pandemic is bringing unlimited losses to industries, businesses and workers. Die to the massive spread of COVID-19 a number of businesses are downsizing the activities and are laying off their workers. This time has been dark for the entire world. Despite of the loss of human life, the life of businesses is also affected negatively. But most of the businesses have implemented the furloughing strategy during the COVID-19 in different countries. This simply means that besides of giving lay-offs the workers you give them unpaid leaves. Indirectly, you wait for the situation to get a little better and the economy to get back to its position. That is why these workers are kept on their original payrolls so that they can continue their work from where it was all paused.
The Impact of Furloughing and Lay-offs on Workers:
There are several businesses that have responded to the losses occurred due to COVID-19 by replacing their staff and employees to furloughing. So they are still kept of unpaid leaves rather than completely giving complete lay-offs. Looking deep down inside this strategy there is no worker that is benefitting from either of the strategy. The losses are same for those who have been given lay-off and also to those why are replaced with furloughing. This loss of income of the workers depends on one thing only that is when the COVIS-19 completely disappears and life and work gets back to normal. Unfortunately the reality is pretty harsh. It is observed that the global lockdown and pandemic will tend to prolong more.
Implementation of Furloughing Globally:
Now that the decision of Furloughing has been implemented globally, every country has set different strategies to implement this decision. This is because most of the businesses are somewhat still operating online. They are still taking services of the employees and running their business activities to some extent. For example, the Airlines of Scandinavia has been 90% furloughed its entire staff. One the other hand the world’s top notch hotel, Marriot International, has furloughed about ten thousand employees. The list of different businesses of different countries goes on like this. Surprisingly, the Government has positively intervened in this furloughing strategy and that is why there are different rules set in in different countries.
Furloughing in the UK:
In the UK, the Government offers its staff 80% of the wages to those who have lost their jobs due to global pandemic. On 20th March it was decided to pay around 2500 of the amount to these workers. After knowing this scheme the next challenging task was how to apply to avail the offer. That is why it is vital for the citizens to understand the concept and the conditions of furloughing. Surprisingly, there is no limit announced officially that how many employees or staff can be furloughed. This offer is valid for about 3 months only and was started on 1st March, 2020. Those who have qualified to be replaced with furloughing they are not allowed to work for their employer anymore.
There are definitely different schemes of furloughing in different countries. This COVID-19 pandemic has been pretty challenging for every individual but the Government is taking initiatives to give compensations to the losses made.
Form a Company in the UK
Form a Company with Seed Formations and be ready to trade within 24 hours.
from £12.49 + vat