FURLOUGHED AGENCY STAFF GO UNPAID
Unite union accuse employment agency of ‘bad faith’ as blame is put on Government scheme for delay
Agency workers at a Wear side engineering plant have gone unpaid for more than a month after being laid off under the Government’s coronavirus furlough scheme.
The scheme, intended to allow businesses to keep staff on their books and return to businessas quickly as possible after the lockdown is lifted, allows employers to claim up to 80 per cent of wages.
But the Unite union has accused employment agency Giant agency of ‘bad faith’ after workers at Rolls-Royce factories in Washington and Derby went unpaid.
Unite said staff had been left ‘in dire financial straits’ and confused by mixed messagesover progress of the agency’ s application for funding.
Unite regional coordinator Suzanne Reid, who represents the 27 Washington workers, said: “Giant agency workers have been left in the worst possible predicament – they have not received any wages for well over a month which is causing financial hardship for their families and impacting on their mental health.
“We have had mixed messages from the company over whether the JRS application is being progressed or not. It appears that they could be reneging on what was agreed in mid-April.”
Washington & Sunderland West MP Sharon Hodgson, said: “I am bitterly disappointed Giant have failed to ensure their employees receive the financial support they are entitledto. As our country faces the biggest challenge in peace time, it is unforgivable that companies are placing their workers in such financial difficulty.”
A Giant statement blamed uncertainties over how the furlough scheme applied to agency staff for the problems :“We are working hard to support our contingent workforce during these unprecedented times that has posed many challenges to businesses.
“Since the announcement of the Coronavirus Job Retention Scheme, there have been numerous updates to the guidance, and it is unfortunate there remain some areas of uncertainty as to how the scheme applies to our, and other contingent workforces.
“It has been our aim to seek clarity from both the Government and HMRC to ensure all our workers are treated equally, but unfortunately this has not been forthcoming.
“In the absence of receiving an update, we have commenced the process to make furlough claims for March and April ready for payment next week.”