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Workers left in limbo by Government's furlough scheme loophole

People who have changed jobs and then been put on furlough have found their new employer can't claim any cash for them

Rishi Sunak speaks at the Downing Street press conference(Image: Sky News)

Thousands of workers have been left “in limbo” because of a loophole in the Government’s coronavirus furlough scheme – and all because they changed jobs.

Under the Job Retention Scheme, announced by Chancellor Rishi Sunak on March 20, employees are entitled to 80% of their wages, subsidised by the Government, up to a total of £2,500 a month if they are ordered not to work until after restrictions are eased.

The scheme was backdated to February 28, and to be included staff have to appear on their employers’ payroll on that date.

But around the country thousands of workers have falled through a loophole in the furlough scheme, having left one job for another and not appearing on their new employer’s February 28 list.

The Government stressed people in this trap can go back to their former employer and ask to be re-employed – but this is proving problematic and means employees risk losing their new job when the virus crisis is over.

It means many workers are now faced with receiving no income at all until the pandemic abates and restrictions are lifted.

This could be because they have a spouse who is still in work, or because they have not having paid enough National Insurance contributions, perhaps because they are young and only started work recently. Either way, it means they can’t even claim Universal Credit.

Chris Jones, a dad-of-three from Newton Abbot, in Devon, works as a barman, but left one pub company on March 11 for a job nearer his home.