UK unions and business leaders welcome government’s decision to pick up wages of workers

Union and business leaders have largely welcomed news that the government will pick up “most of” the wages of workers as the coronavirus pandemic continues to shred the UK economy.

Chancellor Rishi Sunak said on Friday that government grants would cover 80% of staff salaries for those who are kept on by their employer but are unable to work.

Paul Johnson, director of the Institute for Fiscal Studies (IFS), said the final cost of paying up to 80 per cent of wages for employees who face losing their jobs during the coronavirus outbreak was “unknowable”.

Mr Johnson said that if the support – of up to £2,500 per month – is claimed for 10 per cent of employees, it could cost the government £10bn over three month.

Independent / Sky News