For a business to close temporarily due to flooding, snow, fire, viruses etc, they are all considered ‘acts of God’ and a ‘frustration of contract’ can exist and you are not obligated to pay the staff. However, it’s best practice to look at ways to pay them, by asking them to use up their toil they have accrued or to take annual leave.

You should have a ‘lay off and short time working’ HR policy in your employee handbook. And you can advise staff that you are laying them off (should you close) temporarily. You may wish to offer short time working, so providing them with some work, but where they would not expect a full wage. If employees are laid off or offered short time working then they could be entitled to statutory pay. Check out the government website for further information about statutory pay: https://www.gov.uk/lay-offs-short-timeworking/guarantee-pay

If a member of staff becomes sick whilst you are open for trade or when they are not in work, they would need to be recorded as being sick and claim SSP. SSP is paid out after the 4th day, not from the 1st. Here is the government guidance: https://www.gov.uk/employers-sick-pay/entitlement.

Don’t forget to review your business policies regarding your contractual obligations to your clients/customers as well as when payments are to be made and when they are not.

For further advice, contact or HR team on 0843 176 0266 / hello@specialisedhr.co.uk.

www.specialisedhr.co.uk

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