Non-executive directors are not permanent employees, so would not qualify. Under the new rules, flexible furlough is permitted, allowing employers to bring employees who have previously been furloughed back into work for any amount of time and any shift pattern, while they remain on furlough for hours not worked. Details of the new flexible furlough scheme available from 1 July 2020 have now been published, via … A copy of the Directors’ Flexible Furlough Agreement letter should be retained for five years. There is no requirement for employers to offer flexible furlough arrangements and they are able to leave directors on full furlough if they prefer. Flexible furlough means those on the government’s Coronavirus Job Retention Scheme (CJRS) can come back to work on a part-time basis, for any amount of time. Depending on the size and needs of the company, it may be possible to furlough one or more directors. The Scheme was put in place in March 2020 as part of the Government's response to the coronavirus and provides financial assistance for employers who incur costs as a result of the pandemic. The background to flexible furlough. The Coronavirus Job Retention Scheme (CJRS) is changing from 1 July 2020. Yes, however only to the extent a director is remunerated via PAYE. Flexible furlough is a new style of furlough under the Job Retention Scheme. The board should take the opportunity to record what roles those furloughed will continue to undertake in their capacity as directors (e.g. Joanne Moseley examines the key details. The Government announced basic details of the new Coronavirus Job Retention Scheme (CJRS) on 20 March 2020. Where the office holder is a company director or member of a Limited Liability Partnership (LLP), the furlough arrangements should be adopted formally as a decision of the company or LLP. See our article - Flexible Furlough Scheme from 1 July 2020. A director or company officer is an employee for PAYE purposes. A company may furlough a director under the government's Coronavirus Job Retention Scheme. From 1 July the scheme will allow part-time working, but staff must have been furloughed by 10 June to be eligible. With flexible furloughing, from August through to October employers are asked to pay a gradually increasing percentage towards the salaries of their furloughed staff. Questions for directors and their companies Can a Company Director be Furloughed? A director cannot claim the COVID-19 Grant for the Self-Employed by virtue of holding the office of a director. billing and credit control). Flexible furlough is a part work/part furlough arrangement. Furloughed employees must not perform any work for the employing business – few company directors can meet the requirement to remain entirely inactive. Furlough – Company Directors. 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