Coronavirus: How business responded to Boris Johnson’s lockdown plan
Business groups have welcomed Boris Johnson’s call for millions of people to return to work but called for clearer guidance on how to maintain safety standards and support furloughed employees.
In a speech this evening Johnson said that anyone who cannot work from home — such as those in construction and manufacturing — should be “actively encouraged” to go to work from tomorrow.
However, anyone who can work from home is still encouraged to do so, while the prime minister said guidelines had been drawn up for employers to ensure workplaces were kept safe.
Edwin Morgan, director of policy at the Institute of Directors (IoD), said the announcements would be most relevant to companies that have continued to operate during the lockdown.
“Most of our members will take three to four weeks to get up and running again fully from where we are now,” he told Sky News.
Safety strategy is key
Adam Marshall, director general of the British Chambers of Commerce (BCC), said businesses would do everything they could to protect employees and customers, but would need to see “detailed plans” about the phased easing of restrictions.
“It is imperative that companies have detailed advice on what will need to change in the workplace, including clarity on the use of PPE,” he said.
IoD director general Jonathan Geldart added that it was “vital” bosses were given clear guidance on how to return to work safely.
“As people with ultimate legal responsibility, directors need to have confidence that it’s safe, and that if they act responsibly they won’t be at undue risk,” he said.
“Businesses should consult with their people to put in place robust policies, which in many cases might not be an overnight process.”
Avoiding the ‘cliff edge’
So far 6.3m people have been furloughed under the government’s job retention scheme to a total cost of £8bn, but businesses have warned of the dangers of a “cliff edge” when this support is withdrawn.
BCC boss Marshall said government schemes should be continued as long as needed to give businesses confidence to plan ahead.
“The timing of further easing of restrictions must be guided by the public health evidence, but businesses need their practical questions answered so they can plan to restart, rebuild and renew,” he said.
The IoD’s Geldart added that social distancing rules would mean “significantly reduced activity” for many firms, and so government measures should match restrictions.
“A more flexible furlough system would help businesses get back on their feet, bringing people back to workplaces gradually,” he said.
“Meanwhile, countless small company directors continue to find themselves left out in the cold, unable to access the government’s aid, and this needs to be changed quickly.”
Retail hope and hospitality woe
Johnson tonight said a phased reopening of shops would begin no sooner that 1 June, though he did not clarify which retailers will be allowed to begin trading again.
Helen Dickinson, chief executive of the British Retail Consortium, said that safety — rather than shop size or type — was key to determining when stores can reopen.
“Already retailers around the country are working on plans for reopening safely and with all necessary social distancing measures in place,” she said.
“The BRC and Usdaw have supported this process with our own social distancing guidance, learning from the experiences of thousands of supermarkets and other essential retailers.”
She added: “We need a plan for shopping as well as shops — this means a plan that allows safe navigation both to and through our retail centres — and we look forward to continuing to work closely with the government to support this process.”
But the prime minister’s speech offered less hope for the UK’s hospitality industry, stating only that the government hoped to reopen “at least some” of the sector in July at the earliest, providing they were safe and enforced social distancing.
Emma McClarkin, chief executive of the British Beer & Pub Association, said that while the industry was looking for a “glimmer of hope” it now faced weeks of further uncertainty.
“With insufficient clarity as to when pubs will reopen, our sector remains in limbo and facing severe uncertainty and financial devastation,” she said.
“If the government plans to keep pubs closed until the final phase of release, as rumoured, this would make pubs first in and last out of lockdown.”
McClarkin added: “Despite this, the government hasn’t outlined any specific additional financial support for pubs to assure and help them through the extended lockdown hardship they face. We understand that pubs should only open when safe to do so, but extending the lockdown without offering additional support will be devastating.”
Kate Nicholls, chief executive of UK Hospitality, said: “Mr Johnson was explicit about his commitment to support those workers whose businesses are not able to return soon, and we remain committed to continuing our dialogue with the government to achieve that.
“We have been calling for a more flexible, extended furlough system and today’s statement appears to leave the door open for that.”