Martin Lewis says employers have 'moral obligation' to re-hire anybody they made redundant

30 March 2020, 11:43

Martin Lewis has given his advice to those made redundant
Martin Lewis has given his advice to those made redundant. Picture: ITV

Martin Lewis has given advice to those who have been made redundant due to coronavirus.

As many people continue to struggle financially through the coronavirus pandemic, Martin Lewis has given his advice to those who have recently been made redundant.

Earlier in the month, thousands of companies were forced to lay off employees to cut down on costs and keep their businesses afloat.

But last week Prime Minister Boris Johnson announced that the state would pay grants covering up to 80% of the salary of workers if companies kept them on their payroll - known as ‘furlough’.

Holly Willoughby and Phillip Schofield spoke to Martin Lewis
Holly Willoughby and Phillip Schofield spoke to Martin Lewis. Picture: ITV

Following this, Money Saving Expert Martin has said it is now employees ‘moral obligation’ to re-hire anybody they previously laid off in order for them to receive this money from the government.

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While speaking to a caller who had lost her job, the 47-year-old said: “Go back to your employer, they are allowed to re-hire people they put into redundancy due to the coronavirus.

“It is a moral obligation that they do so.”

Speaking directly to businesses, Martin continued: “We need to keep people to have their income coming back in, it is no cost to you, only short term cash flow, but there are business grants that can help with this.”

Before adding: “It’s time to step up, give people the support they need, rehire them, you are not cheating the system, this it what it is for.”

Employees affected by the coronavirus pandemic can ask for furlough, but it's up to employers to grant it.

Martin previously explained: "Furlough is this position where if you can't work, you have a job but your job is on hold, let's imagine hospitality industry is easy.

Read More: Martin Lewis tells self-employed to 'hold on' and predicts government aid announcement this week

“If you are PAYE for a contracted employer, the company can say we'll put you on furlough and the state will pay 80 percent of your salary up to a maximum of £2,500."

"The company can top that up to 100 percent and we hope they have and they will, but they don't have to.

"So if your company says you'll cost too much tell them 'just give me the 80 percent'."

Martin added that the 80% is not coming out of the employers pocket, as he gave an example of his friend losing their job because they worked in hospitality.

He revealed: "When the furlough policy came out, I said call them up and ask for your job back and if they say 'we can give it to you' say 'I'll take 80 percent of the wage'. And, she got her job back."