The Coronavirus Job Retention Scheme, or "furlough" scheme, was announced by the Chancellor in March 2020, at the beginning of the COVID-19 pandemic. The scheme has allowed employers to keep employees on company payroll during the crisis period, when they were unable to work as normal. The furlough scheme is due to end on 30 September 2021, after which the hope is that most employees will be able to return to work as normal. Whilst the introduction of "flexible" furlough in July 2020 allowed some furloughed employees to return to work on a part-time basis, many have remained on furlough for the entire period since the scheme was introduced. This will have been an insecure and isolating time for many, as they may have felt that their job is at risk or that they are valued less than their colleagues who remained in full-time work. It will be critical for employers to provide adequate support for those employees coming back to work after such a long period.

How can employers re-engage with furloughed employees?

1. Retrain and refresh

As months have gone by since the furlough scheme was first introduced, it is possible that employees under the scheme will have become disengaged from their job. Employers will face the difficult task of bringing their returning workforce back up to speed. Employees may need to be upskilled, retrained or refreshed on certain workplace practices in order to adapt to any recent changes. For those employees still on furlough, though they cannot carry out normal work, they are permitted to undertake study and training, as long as the purpose is to improve the employee’s effectiveness in their employer’s business and its performance. Useful resources and training materials should be made available to employees. You could even go further and create individual development plans tailored to each employee. This could, for example, direct them to online courses identified by their manager as key for future growth. This will ensure they still feel confident in their ability to carry out their role on return to the office.

2. Clear communication

It is important that employees on furlough are kept informed of any upcoming changes or business development, in particular if it relates to their return to work. Encourage furloughed staff to keep an eye on internal business communications, or set up a dedicated portal on the company intranet where employees can catch up with what has been happening in the business and how it might affect them. You could also run employee polls and engagement surveys to help gather feedback from employees. On a more personal level, make sure you support managers so they can confidently establish and maintain clear lines of communication with all employees, including those on furlough. This could be as simple as organising regular one-to-one catch-ups. During such uncertain times, a strong relationship between employees and their manager is important. It will help managers recognise and respond quickly to any signs of employees who are struggling.

If you have not put anything in place up to this point, it is not too late to start. Helping furloughed employees get back up to speed with what has been happening will help them engage with the business again and hopefully look forward to returning to work.

3. Encourage social contact

It is important to make the extra effort to ensure that furloughed individuals still feel part of their team, even whilst they are not carrying out actual work for the business. For employees on furlough, or even working from home, social connections at work have suffered. This may impact on team cohesion and effectiveness when they do return to work. Even though the government is still encouraging employees to work from home, this does not mean that social engagement is out of the question. A lively social platform, even if virtual, can reconnect employees with their colleagues and to the business. Social events or discussion forums, in particular those dedicated to talking about things outside work, can be an effective way to replace the coffee point chats.

4. Be empathetic

As restrictions lift, some furloughed staff will be eager to return to work, but others may be very anxious, or uncooperative about returning. Furloughed employees, in particular, are in a very different position to many of their colleagues who have continued to work either at home or in the workplace. They may find it difficult to adjust, particularly if they have been away from work for an extended period. Equally, some may have concerns due to their health or increased risk factors, and some may simply need more time than others to get used to new arrangements. It is crucial to acknowledge this potential range of emotions so that every employee feels they are valued and supported. Treat each employee as an individual, to ascertain their specific needs, and facilitate adjusted duties where necessary and possible. In some cases, where an employee is clinically extremely vulnerable or has a mental health condition, you may need to seek specialist advice to supplement this (for example, from an occupational health service, doctor or counsellor, who can provide professional advice on returning to work and any reasonable adjustments that may be required).

5. Encourage employees to seek support

Employers have a duty of care to support the health and wellbeing of their employees, including those on furlough. This duty is even more significant during such uncertain times. Consider ways of stepping up mental health support for employees returning to work after a period of furlough. For example, you could direct employees to support programmes such as Employee Assistance Programmes, or launch peer-to-peer support initiatives that encourage employees to support each other within their teams. This will ultimately ensure employees feel supported by the business to enable a smooth transition back into work when the time is right.

What are the risks?

How you treat and support employees during furlough will form the foundations for their re-integration and may even affect future hiring campaigns. If employees feel let down or ostracised during their period of furlough leave, it may mean they lose motivation or look elsewhere. In contrast, employees who are happy and proud of the way their organisation handles challenging situations will be more likely to demonstrate high levels of loyalty.

In extreme cases, furloughed employees may feel they are unable to carry out their role properly due to lack of support during and/or after their time away from work. This can result in you losing valuable talent and leave you vulnerable to constructive dismissal claims. A constructive dismissal occurs where an employee resigns in response to a fundamental breach of contract by the employer. In this type of situation, an employee may claim the lack of support from their employer breached the implied term of trust and confidence. Such claims can be very costly and damaging to a business's reputation.

Take particular care with employees who you know have a long-term health condition, especially if it is mental health related. If you do not consider making reasonable adjustments (such as those set out above) to facilitate a smooth return to work, an affected employee may raise a grievance or even bring a discrimination claim. Could you show that you maintained a supportive environment during the furlough period and afterwards? This will be particularly important in the case of clinically vulnerable employees.

Proactively communicating, retraining and motivating employees will help achieve a smooth re-engagement into the business and avoid these risks occurring.

We recommend speaking to a member of the PRM team at Dentons who can help guide employers through this uncertain time in a way that meets both the needs of the business and their employees.