From 1 November 2020, two new Job Support Schemes will come into existence, effectively replacing the Job Retention Scheme which closes on 31 October 2020. 

  • They are named the “open” Scheme and the “closed” Scheme. The “closed” Scheme is to be used only when your business has been forced to close by Government authority. We focus on the “open” Scheme in this Briefing as the details of the “closed” Scheme will be subject to specific rules, dependant on region as shutdowns happen. 
  • Due to the unique employment status of Directors who are payrolled, but are not contracted employees, it is currently unclear whether the “open” Scheme can apply to you. This is due to factors such as National Minimum Wage, Class 1 NIC qualification, and because contractually your employment profile suggest you are paid by virtue of your status as an Officer, not as an employee. So we shall have to “park” this element of the JSS qualification and claim until more detailed legislation is issued. 
  • The attached letter accompanying this Briefing is for use to access the “open” Job Support Scheme, which requires you to provide to an employee a minimum of one fifth of their normal working hours. The Government will provide up to 49.33% of their salary. 
  • Use this letter to seek agreement from the employee to the change to their working hours and pay. The employee should sign both copies of the letter and return one to you, keeping one for their records. You should discuss the change in working hours and pay with the employee before sending them this letter. This Scheme remains separate from schemes that might become available because of local lockdowns. 
  • If you wish to access the “closed” Job Support Scheme because the Government requires your business to close as part of lockdown measures, which means that you are unable to offer an employee any hours of work, you will need an alternative letter. Please call us if this is required. 
  • All UK businesses with a UK bank account and UK PAYE schemes can use the “open” JSS, provided they are not “large”.
  • To access funding from the “open” JSS, the employee must have been on your PAYE payroll on or before 23 September 2020 which means that a Real Time Information (RTI) submission notifying payment to the employee to HMRC must have been made on or before 23 September 2020. 
  • You will need to provide the employee with at least one fifth of their normal working hours (this minimum will be reviewed after 3 months). You pay the employee for the hours worked. The remaining “unworked” hours are then split into three; You will pay 5% of the usual pay for hours not worked, up to a maximum of £125 per month, and can top this up further if you choose, and will be able to claim capped wage support from the JSS for 61.67%. The remaining third will go unpaid.
  • The letter attached does require some tailoring, determined by what support has been previously provided to your business and the employee. 
  • Your employees will be able to check if you have made a JSS claim on their behalf through their online Personal Tax Account. Employees can set up a Personal Tax Account on Gov.UK, by searching “Personal Tax Account: sign in or set up”.



For all Letters 

As you may be aware, the business has been receiving financial assistance from the Government to pay wages via the Coronavirus Job Retention Scheme during the Coronavirus pandemic. We found it necessary to use the Scheme, and place employees on furlough, because of the challenges we faced because of the pandemic. This assistance has been vital in helping the Company avoid the need for redundancies during recent months. 

The Job Retention Scheme is coming to an end on 31 October 2020 which means we will no longer be able to have employees on furlough. However, the Government has announced a new wage assistance scheme, called the “Open” Job Support Scheme (ISS), which will start on 1 November 2020 and is expected to run until 30 April 2021. 

(If employee has previously been furloughed use one of the below) 

As you know, you have been on furlough since (insert date). 


As you know, you were placed on furlough between (insert date) and (insert date) and have been working according to your normal hours of work since then. 


As you know, you were placed on furlough on (insert date), after which we were able to bring you back to work on a part-time basis under the flexible furlough scheme. As mentioned above, it is no longer possible to furlough you from 1 November 2020. We continue to face challenges presented by Coronavirus, so we intend to apply to the JSS in order to receive assistance to pay your wage. 

OR (If employee has not previously been furloughed use one of the below

Although you have not previously been furloughed, we have identified a need to apply for wage assistance for your role. This is because (insert reasons). To access the JSS, it is not a requirement that you have previously been furloughed. 

We discussed our current circumstances on (insert date) and during that discussion, you agreed to work the following part-time hours with effect from (insert date)

(insert details hours must be at least one fifth of normal working hours

During our discussion, you agreed to work part-time hours with effect from (insert date). We agreed that we would notify you of the hours you would be required to work on a week-by-week basis (* but anticipate that in most weeks your working hours will adhere to the following pattern

(insert details hours must be at least one fifth of normal working hours

For all letters 

Although your working hours may fluctuate according to demand, you will never be required to work fewer than one fifth of your normal working hours for the duration of our use of the JSS to help cover your wage. 

You will receive full pay for the hours that you work. You agreed that, for the remaining hours you would normally have worked, your pay will be reduced to up to two thirds of normal pay. 5 %will be paid at your normal rate, 61.67% will be paid up to a cap of £1,541,75 per month which we will be able to recover from the JSS. The remaining third will be unpaid. 

For example, if you would normally work 5 days a week, receiving £350 per week, and have agreed to work for 1 day a week, your pay will be made up as follows: 

• £70.00 for the 1 day you work;

• £186.67 for the 4 ‘unworked’ days (two thirds of what you would normally receive).

• £256.67 total weekly pay. 

We anticipate that this arrangement will last for (insert details). We continue to monitor the 

situation and in the event that the position changes, you will be notified. 

We have attached two copies of this letter. Please confirm your agreement to this change in your working hours and pay by signing both copies where indicated below and returning one to us by return. 

We are doing everything we possibly can to ensure we are able to survive the challenges we are facing. We appreciate that this is a difficult period for everyone and I would like to thank you, once again, for your continued loyalty to the business. 

If you have any queries concerning the contents of this letter, please do not hesitate to contact us. 

Yours sincerely 

*delete/amend as appropriate 

I confirm agreement to the above change to my terms and conditions

Employee signature……………………


The above letter template is available to download HERE

If you would like further help or to discuss any area of this briefing contact us on 01202 880384

Chartered Accountants & Business Advisors


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The England and Company Team

The England and Company Team

Our experts include: Chartered Certified Accountants, Chartered Tax Advisors and Registered Auditors.


TEL: 01202 880384




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England & Company
7 & 8 Church Street
BH21 1JH


Tel: 01202 880384
Fax: 01202 842814


Company Registration Number: 4521252

Registered in England and Wales
VAT: 798123494



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