Resellers facing bad debts as the coronavirus crisis bites have praised the Government’s pledge to pay 80% of wages to furloughed staff.
“I welcome the Government’s response,” said Incom-CNS CEO Jason Kilvert. “The decision to pay 80% and give us the ability to furlough people as and when required was outstanding because it alleviated the pressure.
“I had to furlough two lads who have worked for us at the Manchester Royal Infirmary all their lives because the Trust couldn’t allow them on site. They now know they haven’t been made redundant and as soon as things improve, they’ll be back.”
Best4Business MD Freddie Hawker furloughed 12 of his staff as soon as customers began to request a cessation of charges for telecoms equipment.
“They have been asked to go home on a temporary basis until we know what’s going on," he stated.
"The difficult thing is making the decision whether to bankroll your staff to do nothing or accept the help from the Government.
"Usually I'm the type of person to say, nope, I’ll stand on my own two feet. But with things as they are, we are going to claim the money. It's the right thing to do.”
Salisbury-based Berry Telecom started the furloughing process as soon as the Government’s wage plan was announced and has reduced staff from 92 to 33.
“We have a battle plan to go down to 20 if needs be,” said co-owner Paul Hallam. “But we are staying positive. All of the directors have taken 50% pay cuts and the banks are willing to support us because of our assets.”
Focus Group founder and joint MD Ralph Gilbert was surprised how many direct debits from customers had not been cancelled at the time of writing, and had only furloughed 40 of the company’s 350 staff.
He also urged company owners not to abuse the scheme. “I am surprised how many customers are coping including the many hotels we look after," he added. "I hope people won’t furlough and then claim for those that are still working. That would spoil it for everyone.”