More than a third of furloughed staff have been asked to work during lockdown, a new survey has revealed.
It comes as treasury chiefs have promised to probe 3,000 reports of ‘furlough fraud’ since April.
The furlough system, which experts predict could cost the UK economy up to £60bn, was launched in March under the name ‘Coronavirus Job Retention Scheme’ after the outbreak of Covid-19 in the UK.
The aim of the scheme is to keep people in employment despite many businesses having to temporarily shut due to the government’s lockdown laws.
But a new study released today by Crossland Employment Solicitors suggests that 34 per cent of employees have asked their employees to work despite them being on the furlough scheme.
The furlough system was launched in March by Chancellor Rishi Sunak under the name ‘Coronavirus Job Retention Scheme’ after the outbreak of Covid-19 in the UK
London has been the worst affected area, while those with the lowest number are to be found in sparsely populated areas of England Scotland and Wales, the Treasury statistics show
In England, 6.5 million jobs had been furloughed by May 31, dominated by London and the South East, at more than one million each
This includes asking them to return to work to do their usual job or by taking on more administrative tasks.
Meanwhile, a fifth of employees have been asked to work for another part of the business or work for a company linked to their employer while on furlough, the survey reveals.
Under the rules of the scheme, which are stated clearly on the government’s website, your employer ‘cannot ask you to do any work for them that makes money for your employer or a company linked or associated to your employer’.
The website states you also cannot ‘provide services to your employer or a company linked or associated to your employer’.
Employees that are furloughed can however take part in training, volunteer for another employer or organisation or work for another employer, if contractually allowed.
Despite this, some employees have claimed they have been told to work.
Last month, reports emerged that Sports Direct and House of Fraser had been accused of secretly pressuring furloughed managers to come into stores once a week.
The retail chains, owned by billionaire Mike Ashley, allegedly asked managers to return to work voluntarily. It was also claimed they were told not to clock on.
In at least two cases they were allegedly asked to pack up stock for transfer back to the main warehouse in Shirebrook, Derbyshire, so that it could be sold online.
One manager, who did not wish to be named, told The Guardian: ‘They are doing it secretly so people don’t know what they are doing.’
Last month, reports emerged that Sports Direct had been accused of secretly pressuring furloughed managers to come into stores once a week
House of Fraser, which is also owned by Sports Direct boss Mike Ashley, was also accused of asking managers to come into work while on furlough
‘Everyone is scared,’ another manager, who wanted to remain anonymous, said. ‘Why do I have to be frightened and likely spreading disease if they are not giving us anything?’
MailOnline contacted Fraser Group at the time of the reports, but did not receive a response.
Harveys and Bensons for Beds, owned by European retail investor Alteri, have also been accused of telling managers to come into stores while on furlough – sometimes forcing them to travel more than 25 miles during lockdown.
A message sent to Sports Direct employees
A message sent to Harveys employees
The business has set up a private Whatsapp group where senior bosses order store managers to check on shops despite being off work.
‘Managers are very upset and feeling as though they are being put at risk,’ a source told MailOnline.
‘We are pestered in the chat if we don’t go. And if we cannot, the regional manager organises others to go in our place.
‘We are supposed to be isolating and not travelling around on these journeys.’
Harveys said in a statement: ‘Messaging groups were set up to stay in touch with store colleagues during this period. During the lockdown period, there have been a number of unfortunate break-in attempts and thefts along with a handful of maintenance issues, such as water leaks.’
According to reports by the BBC, HMRC has now received more than 3,000 reports of furlough fraud since April.
HMRC has promised to tackle fraudulent and erroneous claims.
It comes as the government recently announced plans to give employers 30 days to confess any furlough fraud.
But the number of cases could be much higher than the 3,000 complaints made so far, if the Crossland’s survey is reflective of the wider market.
According to reports by the BBC, HMRC has now received more than 3,000 reports of furlough fraud since April
Beverley Sunderland, managing director of legal firm Crossland, told Sky: ‘Like any fraud, this is a serious offence and an exploitation of employees.
‘As it is fraud on the Treasury then an employer could be imposed with a hefty fine, asked to pay past payments back, have any future payments withheld or even potentially face prison.’
Ms Sunderland said the firm had received an ‘avalanche’ of calls from worried employees who have been asked to work while on furlough.
It covers 80 per cent of staff salaries up to a maximum of £2,500 a month.
Almost a fifth of the populations of some parts of Britain have been furloughed due to, according to official figures released earlier this month.
London has been the worst affected area, with all but one of the areas with the most furloughed posts covered by the Job Retention Scheme laying within the capital.
Those with the lowest number are to be found in sparsely populated areas of England Scotland and Wales, the Treasury statistics show.
Meanwhile, employers have warned that millions of staff will be laid off when the Government starts asking them to pay 25 per cent of their furloughed staff’s wages in August.
Chancellor Rishi Sunak last week extended the coronavirus job retention scheme in which the Treasury covers 80 per cent of wages of workers’ wages up to a ceiling of £2,500 a month, but this could change from August.
Under the plans, expected to be announced next week, all firms on the scheme will be told to fork out a quarter of their staff’s wages even if they remain closed, The Times reports.
In total, 8.9 million jobs have been furloughed since the scheme launched. It has cost the Government £19.6 billion to date – and could cost up to £60bn by the time the scheme is set to end in October, experts say.