Following on from the Budget held in March there are two main points that will affect businesses from a HR perspective.
Firstly, the chancellor has announced that National Insurance contributions will be raised from £8,632 to £9,500, saving a typical employee £104 a year.
Secondly, and potentially most importantly, the government announced it will refund businesses with fewer than 250 employees any statutory sick pay (SSP) for people self-isolating for up to 14 days, even if they do not have Coronavirus symptoms. This helps to minimise the impact of the virus for businesses. However, is it enough?
Sadly this may not resolve the issues that many employers are having which relate to employees that cannot afford to be on just SSP and chose to come in when they perhaps shouldn’t.
Also, if the government decides to close schools (which it has not currently indicated that it will) then there will be issues for those employees who have children. Businesses will need to consider time off for dependants as well as potential flexible working options.
The Coronavirus issue is also developing into one where businesses are having to not only look at the cost of sickness, but the cost of a decline in business and some are even considering the need to make redundancies.