Millions of workers could be in debt after the government’s Furlo Job Support Scheme expires this month.
Farlow’s pay is due to expire on September 30, but there are questions about how the British will deal with him if his employers cannot take him back and if he cannot find a suitable alternative job.
Chancellor Rishi Sink launched the outbreak scheme last year at the beginning of the epidemic to prevent job losses as many businesses were forced to close temporarily or work with restrictions.
It helped millions of workers during epidemics by paying 80% of their wages – up to 25 500 – 2,500 a month.
The government initially covered the entire bill for aid costs.
But in July, companies began to increase the cost of paying workers by 10 percent, and in August it rose to 20 percent.
Until the scheme closes at the end of September, companies will continue to pay 20% of their paid staff.
The latest figures show that 1.9 million were discharged at the end of June.
No expansion is expected, and while the unemployment rate has fallen and job creation has reached record highs, there are warnings that the end of the Furlough scheme could cause problems.
Banking trade body UK Finance warns that there could be uncertainty in the labor market once the furlough closes
Among the sectors that are still largely on the fringe and whose recruitment is likely to continue. “
For example, the latest government figures show that at the end of June, there were 337,800 paid jobs in the housing and food services sector.
But a recent survey by the Office for National Statistics found that only 117,000 jobs were available in the sector between May and July.
This means that if all workers in the sector lose their current roles, there will not be enough housing or food-related jobs to apply.
A recent UK Finance Home Financial Review found that although fewer people are having difficulty repaying their mortgages, those who do not return to full employment after the furlough may find it difficult to keep credit promises.
This could mean that they lag behind in mortgage, debt or credit card payments and are pushed into debt.
Research by Green Graves Lens Down shows that 54% of people are worried that their income will go down as the epidemic continues.
Sarah Coles, a personal financial analyst at Harris Lens Down, said: “Millions of people will be left high and dry when the furlough scheme ends, and those who are borrowing will find themselves in dire straits.
“There is a real similarity between the sectors from which people are on furlough and the sectors in which they are recruiting. Not every sales assistant wants to cut salaries or retrain as a delivery driver.”
The NIESR predicts that the end of the Furlo scheme and the lack of suitable jobs could push the UK unemployment rate to 4.8 per cent to 5.4 per cent by the end of this year.
Where to get help if you are worried about losing your job.
The furlough scheme was designed to employ workers but unfortunately it does not prevent your employer from making you unemployed.
Talk to your boss about your work and come back to work so you can be ready.
To speak Advice from citizens. Learn about your workplace rights so you know where you stand if your job is at risk.
If you lose your job and struggle to find a new one, you can apply for state assistance in the form of a universal credit.
Universal credit payments can vary between £ 344 and £ 596.58.
However, Universal Credit is based on your current income, so if you still apply while receiving a furlough, you will be assumed that this income will continue.
Therefore, it may be possible to wait until the scheme is closed.
Losing your job can make it difficult to pay your bills, such as mortgages and credit cards.
Quaid’s repayment holidays have been suspended but lenders have been told to be sympathetic and flexible with borrowers so be able to talk to your provider before you fall behind.
More than 160,000 Britons who lost their jobs due to the Cowade crisis were entitled to a bumper aid package.
A 20 20 reduction in universal credit this month and an increase in energy bills this winter could also increase your household expenses.
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