As the Government Contribution for the Coronavirus Job Retention Scheme Drops to 70%, STUC Raises Concerns of Mass Unemployment if Furlough Scheme Ends in October.

September 2nd 2020

As the Government Contribution for the Coronavirus Job Retention Scheme Drops to 70%, STUC Raises Concerns of Mass Unemployment if Furlough Scheme Ends in October.

September 2nd 2020

As the Government contribution for the Coronavirus Job Retention Scheme drops to 70%, and with two months until it is scheduled to come to an end, the STUC is urging the UK Government to extend the furlough scheme to protect jobs in struggling sectors.

The STUC will be meeting with UK government Ministers later this week to press the case for continuation of the job retention scheme, as well as pushing for increased collaboration between UK and Scottish Governments to facilitate a sustainable economic recovery in Scotland that will protect existing jobs and grow new high quality jobs for the future.

Roz Foyer, STUC General Secretary stated:

“For many workers, a potential 10% drop in salary is deeply worrying. Even more stressful is the looming prospect of being made redundant when the furlough scheme ends in October.

“With over 700,000 workers in Scotland having been furloughed, the last thing we want to see is a cliff-edge for many sectors that have been hard hit by the pandemic. As the recent rise in Covid cases shows, our recovery from the pandemic is still precarious, and sectors such as hospitality, entertainment, retail and manufacturing will still need support after October.

“The UK Government must ensure that the scheme continues past October to a point in time when it has become more viable for employers in the most badly impacted sectors to recover. If it doesn’t, we risk the prospect of mass unemployment on a scale not seen since the 1980s.”

ENDS

For more information, please contact Rachel Thomson, Campaigns & Communications Officer, on 07974966227.

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