Britain Introduces a Scaled-Back Wage Support Plan
The job support scheme explained. I'm announcing today, the new jobs support scheme. Almost as soon as the fairly scheme was announced, Reshi sooner was being asked what comes next as that job saving program comes to it's inevitable end the chancellor was on his feet in the Commons to reveal it replacement. The government will directly support the wages of people in work giving businesses who faced depressed on the option of keeping employees in a job on two hours rather than making them redundant. It will allow millions of people to effectively go part time working a minimum of one third of their normal hours. But keep around four fifths of their regular wage employers will pay for the our staff do work, and then they'll split the bill for some of the lost time with the government paying a third each it starts on November fast more cost three, hundred, million pounds a month editorial column though Physics Chancellor will have to dig even deeper into the Treasury's pockets soon. Our prediction is today announcements might not be enough and there will be more to come. As jobs go and the economy finds itself in Cold Storage Richie soon will be under pressure to repeat the magic tricks he produced in the spring which carried the economy through to the start of the recovery. The trouble with magic tricks is that they unless impressive the second time the chancellor also has less to play with the furlough scheme was ferociously expensive it cannot be afforded again ministers hope that by the spring testing really will be working infections falling and vaccine beginning to offer some hope but that could be more than six months away. Consumer Business Editor Jonathan Prynne was watching wishy soon accent Aspen Jonathan Time Slow told the Commons ECON save every job and he can't save every company but he does appear to put more money into this than a lot of people were expecting I. Think it's a package of measures that will be generally welcomed and the feedback initial feedback on on getting from the business community is the pretty pleased with what got compared with what they were facing over the coming winter particularly the cliff edge at the end of October when the original color scheme was to. The new scheme which tops up wages of employees who think about to work should help save a good number of job losses. We don't know yet how it's going to pan out, but certainly, companies will feel a little bit more comfortable about surviving the coming wind. So the night did this yesterday the massive all this is quite complicated there a Jonathan, you've got companies paying some money and then the government pays money and then a company will pay some more money. The employee doesn't get quite as much money as they used to get. A lot of people are going to be wondering how much earning now. Yes it is complicated but I think I think companies are getting use complicated schemes now after the the opposite rash of Schemes Feller Scheme was quite complicated the various loan scheme of were quite complex as well. companies got debt. So seeing through the bureaucracy that unwelcomed of Europe see but they do welcome the fact that the government will pay them effectively to to keep on staff and I got to be a good thing because I think mass unemployment is the reigning big specter the haunts everyone at the my with the economy is just about creeping on the talk of the shape has gone but. I. Think if if we were looking at huge amounts of two, thousand, nine, hundred, eighty style unemployment of the winter that that could be something to change the calculation for everyone.