Originally written by James Simpson on Small Business
As Covid-19 continues to spread across the UK, many firms have seen an extreme reduction in business. Social distancing measures introduced by the government may cause a decline in sales, as well as employees choosing to self-isolate, therefore slowing production.
To try and soften the impact, businesses are having to make the decision to let employees work from home or requiring them to take annual leave.
Badly affected businesses, however, may need to take further steps, such as reducing work hours or staff numbers.
To ensure your business stays compliant, here are some steps you need to make:
Look at your options
When deciding between short-time working and lay-offs, it’s crucial that you understand the difference between both, and what they could mean for your business and staff. “Short-time working” is when employees are provided with less work and less pay for a short period. “Lay-offs” are when employees are not provided with any work or pay for a short period, but are kept on as employees.
These are both temporary cost-cutting measures you may use when there is not enough work to go around. Short-time working and lay-offs can help you avoid dismissals or permanent redundancies, while reducing