Company directors that receive salaries through PAYE can be furloughed and apply for a grant of 80% of their salary during the pandemic.
Individuals who are directors of their own family companies and who are themselves paid via PAYE should be eligible for the Coronavirus Job Retention Scheme, although the same rules will apply as to other businesses and their employees.
Under the scheme, businesses are able to apply for government grants for employees’ salaries up to the lower of 80% of an employee's regular wage and £2,500 per month.
As with other businesses, such directors would need to have been on the payroll on 28 February 2020 and they cannot work while they are on furlough leave. We do not yet know the extent to which minor directorial duties would be disregarded, or whether the requirement that a furloughed employee should do 'no work' would prohibit this.
Please do get in touch with us if you are uncertain as to how to approach this yourself.