Employers must shoulder extra of the prices of furlough from Thursday as the federal government begins to wind down its flagship job help scheme.
With about 1.5 million employees nonetheless on furlough, the change will have an effect on hundreds of corporations throughout the nation.
Workers will proceed to obtain 80% of their wages, however employers can pay a part of that for the primary time.
That would immediate layoffs, with older employees at larger danger of redundancy, in keeping with one assume tank.
The Institute for Fiscal Research mentioned the invoice for employers preserving a member of employees on the scheme would rise from £155 per 30 days at the moment, which covers prices resembling Nationwide Insurance coverage, to £322 in July and £489 in August and September.
Consequently, corporations would possibly rethink whether or not they are going to retain employees, the IFS mentioned.