What next for businesses as the country emerges from the third national lockdown?

On 22 February 2021, the Prime Minister (PM) announced the long-awaited roadmap to enable England to emerge from the third national lockdown during the course of the Coronavirus pandemic.

There was a noticeable change in the Government’s approach, which focused the mind to what people can do, rather than what they cannot do. In addition to this, the Government has taken a uniformed nationwide approach to the roadmap, removing the bureaucratic tier system implemented previously. However, the Prime Minister did not rule out a tier system completely, on the basis that this may be required to contain new strains of the virus, or an outbreak in particular areas.

The Prime Minister outlined that the Government sees no credibility in delaying lifting of the lockdown any longer, as it is the case that the country and indeed the world, will never be 100% Covid-free. With that in mind, the Government is taking a “cautious” but optimistic approach to lifting restrictions and hope that this will be a one-way road to freedom with no further lockdowns envisaged. It is fair to say that it is the “stop/start” of restrictions that has a severe impact on business operations and the Government appears to have factored this into their approach and hope that the roadmap will provide an “irreversible” way out of the pandemic. However, no guarantees as to the dates can be given since all decisions going forwards are contingent upon various factors, which are explored in more detail below.  

So, with the end finally in sight, what does the roadmap look like?

The Prime Minister has confirmed that the restrictions will be eased in four stages. However, each stage is contingent upon the following conditions, which if not satisfied could result in delays to the roadmap being implemented:

1. The vaccination programme continues successfully.
2. Evidence shows that the vaccine is reducing hospitalisations and death. 
3. Infection rates do not risk a surge in hospital admissions.
4. New variants of the virus do not fundamentally change the risk of lifting restrictions.

Step 1 of the roadmap is split into two parts:

1. From 8 March 2021
   • All schools will be allowed to re-open, including breakfast and after school clubs, to help facilitate parents returning to work. 
   • A maximum of two people will be allowed to socialise outdoors.
   • Care home residents will be able to have one regular visitor with whom they can have physical contact.
2. From 29 March 2021
   • Outdoor gatherings of up to six people or two households will be allowed, including private gardens.
   • Travel outside of areas will be legally permitted, although guidance remains to stay local and avoid travel where possible.
   • Outdoor sports facilities and organised adult/children’s sport will also return.

Step 2 - From 12 April 2021:

• Non-essential retail will be allowed to re-open, along with hairdressers, nail salons and public buildings.
• Outdoor settings such as beer gardens, zoos and theme parks will also be allowed to re-open.
• Indoor leisure like swimming pools and gyms will also reopen.
• Self-contained holiday accommodation can also re-open.

Step 3 - From 17 May 2021:

• The rule of six outdoor may be abolished and replaced with a maximum of up to 30 people (which includes weddings, receptions and funerals).
• Up to six people or two households can mix indoors.
• Indoor hospitality i.e. restaurants, cinemas, hotels, theatres and sporting events will reopen subject to social distancing.
• Up to 10,000 spectators can attend the very largest outdoor seated venues such as football stadiums.

Step 4 – From 21 June 2021:

• All legal limits on social contact are hoped to be removed, with all sectors to be reopened including night clubs.
• It is hoped that any restrictions on weddings and funerals will also be abolished on this date.

Shielding advice remains in place at least until the end of March and for those businesses who remain operational throughout, the advice remains that employees should work from home where possible until the final stage of the roadmap.

What does this mean for employers?

Although the roadmap does provide light at the end of the tunnel, many businesses will remain closed until at least mid-April, which is subject to the above conditions and any delays in the indicative dates provided. As such, the challenge remains for businesses to implement the roadmap alongside their operations, in the absence of secure dates to rely upon.

In addition to this, there is also certainty around economic support bridging the gap between now and 21 June 2021, as well as beyond this date for those sectors who will only be able to re-open gradually or have been hardest hit. However, the Chancellor is due to announce the budget next Wednesday (3 March 2021), following which we will explore the impact of the measures outlined. It is anticipated that the Chancellor will announce an extension to the Coronavirus Job Retention Scheme in line with the roadmap, alleviating some financial pressure until at least 21 June 2021, if not beyond. However, this remains speculative at this stage and details will be confirmed next week.  

Perhaps the most welcome news for both businesses and individuals across the country is the reopening of schools on 8 March 2021, together with breakfast and after school clubs. With the re-opening of schools, businesses will be able to bring back, or increase workloads for employees who were otherwise furloughed, or working flexibly, as a result of child-care responsibilities. 

The Government has also extended the criteria for joining the workplace rapid testing programme from businesses with more than 250 employees, to businesses with more than 50 and the scheme will now run until the end of June, as opposed to the end of March. This will facilitate small to medium sized businesses resuming or increasing their operations sooner, by taking twin track approach by implementing rapid testing in the workplace and encouraging vaccinations. However, businesses must ensure that they register for the programme by no later than 31 March 2021 even if they are currently closed for business.

Despite the extension of rapid testing in the workplace, there remains a gap in the current workplace guidance for employers, since this does not take into account the interplay of testing, vaccinations and current restrictions. The Government have stated that this will be reviewed and updated in due course but have given no indication of when this will take place.

What steps should employers now take?

• Employers should give thought to how the roadmap will affect their current operations and provide clear communication to staff in respect of the businesses plans over the coming months. Employers should ensure that employees are informed of how this may impact on their individual roles.
• Ahead of reopening and in the absence of any prohibitions from the Health and Safety Executive (HSE), employers should review and update risk assessments and implement any additional health and safety measures. These risk assessments should be shared and communicated to staff, to provide reassurance on those returning to the workplace. It is worth noting that the advice remains that where employees can work from home, they should continue to do so.   
• Consideration should be given to any upcoming economic support following the Chancellor’s announcement next week and how this can be maximised to aid the businesses recovery. This may require amendment and extension to individual Furlough Agreements.
• Eligible employers should sign up to the Government’s workplace rapid testing programme before 31 March 2021.  
• Employers should consider reviewing and updating their policies and procedures, including implementation of a vaccination policy and will need to ensure that appropriate measures are in place to ensure that the workplace is safe for returning employees. We have previously covered our thoughts on mandating the vaccine in the workplace, which can be found here.
• There is likely to be high demand for flexible working arrangements and employers will need to consider whether in the longer term a more permanent home working arrangement is appropriate.
• Many employers are also reviewing whether working patterns have changed to the extent that they do not need to occupy the same premises.
• Changes to the way employees work are likely to impact on the contractual terms and therefore it would be prudent to consider to what extent there is a need to make changes to terms and conditions of employment.
• With the winding down of the Coronavirus Job Retention Scheme many employers will also be considering whether more drastic changes are needed including options for reorganisation and redundancy.

If do have any queries or require advice and support need any further support, advice or assistance please do not hesitate to get in touch with a member of our Employment Team.