News comes in this week that as many as 80% of businesses in Northern Ireland are aiming to put some or all of their staff on furlough during the next few days and weeks.
Northern Ireland Businesses Furlough Staff
This comes as the coronavirus crisis begins to bite hard at the economy and many businesses both here in Northern Ireland and across the UK, Europe and the world are struggling to stay afloat.
Here is an excerpt from a report in the Irish News by Ryan McAleer on this move by businesses:
“FOUR-in-five businesses in the north plan to furlough some or all of their staff in the next week, a new report suggests.
“The survey conducted by the Northern Ireland Chamber of Commerce has exposed the extent of the impact Covid-19 has already had on the local economy.
Firms Report Significant Fall In Revenue
“Three quarters of firms have reported a significant fall in revenue, with almost two-thirds (62 per cent) stating they have less than three months of cash reserves left.
“One-in-ten businesses said all cash reserves had already been exhausted.
“The research, carried out with accountancy firm BDO, was conducted between April 1-3, two weeks after the Chancellor announced the job retention scheme, the UK Government’s commitment to pay up to 80 per cent of salaries (capped at £2,500) for workers laid off, but kept on the payroll.
“Almost one-in-three (30 per cent) said they intend to furlough all employees, with 58 per cent intending to furlough at least half their workforce.
“Just 17 per cent said they did not intend to furlough any staff.
“Cash flow remains a massive issue for many firms, with just four per cent stating that they have more than 12 months of cash reserves available.
Help Available From WHR Accountants
If you need any help or advice in finding out about, or accessing, funds that may be available to your particular business, then please get in touch with our offices here at WHR Accountants. We can give you professional, expert advice on what you can do to keep your business solvent during these troubling times. Our phone number is 028 3752 2909.