During the Covid-19 outbreak the UK government is offering to pay upto 80% or a max of £2500 per month to prevent employers laying off workers;
Furloughed workers If you and your employer both agree, your employer might be able to keep you on the payroll if they’re unable to operate or have no work for you to do because of coronavirus (COVID-19). This is known as being ‘on furlough’.
Your employer could pay 80% of your regular wages through the Coronavirus Job Retention Scheme, up to a monthly cap of £2,500.
In some instances wealthy individuals and companies are using this government fund to pay employees instead of taking the burden on personally/commercially which would be entirely feasible for them. This has created anger towards these people/companies.
However, as I understand it, the money that the government pays out will no doubt be recouped by the government at some point through an increase in personal income tax/VAT(Sales Tax)/Corporation Tax or a combination of all three. In which case the government is essentially providing a loan with repayment an expectation. Is this correct? in which case it would be perfectly reasonable for employers to use the Coronavirus Job Retention Scheme even if they could afford to make the payments themselves rather than laying off the workers.