We have recently received a high volume of enquiries about furlough leave within educational settings and we thought it would be useful to highlight the Government’s latest advice on this subject.
In summary, where you have a private income stream (outside of school budgets) which has significantly reduced or ceased, and you do not have the means to cover it from your existing budget you can consider your options. If you don’t have the option to redeploy a member of staff then you may be eligible for a furlough payment(s) for your employees. Where the normal school budget covers salaries, furlough is not recommended as explained below.
The guidance below is quoted directly from the Department of Education. Have a read and if you have any questions please speak to your HR Consultant for further advice.
Coronavirus-Covid 19 Financial Support for Education, Early Years and Children’s Social Care (17 April 2020) states the following:
State-funded schools
This includes maintained schools, academy trusts, alternative provision, non-maintained special schools, state funded boarding schools and school-based nursery provisions. Maintained nursery schools should refer to the early years part of the guidance. Click here for further guidance for early years providers.
Mainstream state-funded schools
Local authority maintained schools (including pupil referral units) and academies (including free schools) will continue to receive their budgets for the coming year, as usual, regardless of any periods of partial or complete closure. That will ensure that they are able to continue to pay their staff, and meet their other regular financial commitments, as we move through these extraordinary times. We know that schools may face additional costs as a result of coronavirus (COVID-19). We have put in place additional support to help schools meet these costs; guidance is available on this additional funding. https://www.gov.uk/government/publications/coronavirus-covid-19-financial-support-for-schools
The Government do not, in general, expect schools to furlough staff. However, it is accepted that in some instances, schools may have a separate private income stream (for example, catering, sports facilities lettings, or boarding provision funded by parents in state boarding schools). Where this income has either stopped or been reduced and there are staff that are typically paid from those private income streams, it may be appropriate to furlough staff. Schools should first seek to make the necessary savings from their existing budget or consider options to redeploy these staff before furloughing them. Only after all other potential options have been fully considered should schools furlough those members of staff and seek support through the Coronavirus Job Retention Scheme.
The following conditions need to be met:
- the employee works in an area of business where services are temporarily not required and whose salary is not covered by public funding
- the employee would otherwise be made redundant or laid off
- the employee is not involved in delivering provision that has already been funded
- (where appropriate) the employee is not required to deliver provision for a child of a critical worker and/or vulnerable child
- the grant from the Coronavirus Job Retention Scheme would not duplicate other public grants received and would not lead to financial reserves being created
Where these conditions are met, schools should receive a grant from the CJRS which is in line with the proportion of its pay bill which could be considered to have been funded by a school’s private income.
The guidance also includes further information on public procurement, Children’s Social Care, Residential Provision, Supply Teachers, High Needs Funding, Independent School and Higher Education. To view the document in full click here.
Just a reminder that the period for furlough has now been extended to include June and that applications are made through the government website which you can access by clicking here.
For further advice on the furlough scheme please don’t hesitate to contact your HR Consultant on 01924 827869. If you are not a client but would like to discuss options for support and advice please call one of the team on 01924 827869 and we will do our best to help you. We are education specialists supporting over 350 schools and trusts across the UK. Click here to find out more about FusionHR.
