Businesses across the UK welcomed the chancellor’s announcement of a fund to help with employee’s salaries last week. However, BRC chief executive Helen Dickinson says the government must urgently provide more details on how it will work
During last weekend’s press conference at Number 10, as I was doing my bit to reassure people about how the industry is responding, it dawned on me just how significantly the coronavirus crisis is affecting all of retail.
Half the industry is seeing an unprecedented surge in demand, and all the challenges that come with it, while the other half is seeing demand fall away dramatically as a result of new public health measures.
It is now more important than ever that we talk to the government with one loud, collective voice; allowing clear messages to pass quickly between the government and industry.
“The government has listened during this crisis. Retailers, and the millions of people they employ, need it to continue to act decisively”
The BRC is helping to make both these things happen. We have been working around the clock with members and government to ensure that the reality for retail is understood and that there are financial measures in place to help businesses weather the storm. There is much more to do.
The coronavirus jobs retention scheme announcement last week was vital. The scheme sees 80% of an employee’s salary covered up to a maximum of £2,500 per month for those that might otherwise be laid off during this crisis, backdated to 1 March. It has been critical for some businesses, which have been able to make the decision to shut down without being forced to lay off staff.
Those decisions were made on the assumption that the government would implement the scheme quickly, and that it would be simple to access the funds. If this doesn’t happen, many businesses will have to think again.
It is essential the government urgently provides clear information on:
- The eligibility criteria for the scheme. Does it apply to any employee who would otherwise have been laid off?
- The parameters of the scheme. Does it cover commission-based employees, those classified as vulnerable and people on variable hours? What are the implications for pension contributions, NIC and the apprenticeship levy?
- Simplicity of access and speed of delivery. It must be easy to understand and run, and payments are needed quickly
Retailers were very positive about the job retention scheme and the important support it provides for their businesses. However, there is a lack of concrete information and retailers need the scheme to deliver as rapidly as possible as companies are dealing with huge pressure on all fronts.
The government has listened during this crisis and shown it can act swiftly when required. Retailers, and the millions of people they employ, need it to continue to act decisively.























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