The Construction Industry Coronavirus (CICV) Forum has hailed the “speed and efficiency” of the Coronavirus Job Retention Scheme rollout, but says the real test will be if all claims are paid on time.
The specialist body – set up to support Scotland’s construction industry during the current pandemic – said the successful launch by HMRC last week could provide a “vital lifeline” to companies across the country.
Since the HMRC portal opened on Monday 20 April, more than 140,000 companies employing around a million workers have applied to the furlough scheme. The cost of about £1 billion is expected to rise significantly as more companies take up the offer.
Vaughan Hart, managing director of Forum member Scottish Building Federation and chair of the Forum Employment sub-group, said: “The Forum wishes to record its appreciation of the intense amount of work that has been undertaken behind the scenes by HMRC to so effectively address a situation that, just a few short weeks ago, nobody could have envisaged.
“Fears that the system might be overwhelmed seem unfounded, as the rollout and handling seem to have gone smoothly so far.
“Feedback also seems to suggest that payments are now being made as scheduled, so fingers crossed this continues and a vital lifeline is successfully delivered.”
The Coronavirus Job Retention Scheme means that employers who cannot maintain their current workforce because their operations have been severely affected can “furlough” employees and apply for a grant that covers 80% of their usual monthly wage costs, up to £2,500 a month, plus the associated Employer National Insurance and pension contributions.
The scheme is temporary, in place for four months starting from March 1, but it may be extended if necessary and employers can use this scheme at any time during this period.
The CICV Forum has already played a major role in clarifying conflicting information for the sector and issuing practical guidance for companies, clients and employees. It has now established a series of influential sub-groups dealing with mission-critical aspects such as Health and Safety, Skills, Communication and Future Planning.
