Frequently Asked Questions (FAQs)

Check here for the latest responses to some of the Coronavirus COVID-19 questions and queries from our members.

Government support

Q: If manufacturers are listed as able to continue and staff are not able to come in, are we able to claim 80% of salaries? 

A: If you furlough workers because they are unable to work, then you claim 80% of salary up to a maximum of £2,500 per month per worker. Further guidance on the Coronavirus Job Retention Scheme can be found here.  

Q: How can companies claim the Government support that has been made availableif they can’t fulfil contracts or delivery timelines? 

A: If you are an SME you can claim for the Coronavirus Business Interruption Loan (CBIL) Scheme which is delivered through the high street banks.  To do so please refer to the British Business Bank’s quick eligibility checklist. Please note that this scheme is for borrowing proposals that would be considered viable, if not for the COVID-19 pandemic, and which could enable you to trade out of any short to medium-term difficulty. 

If you are a large company, you should consider the Covid Corporate Financing Facility (CCFF). This is intended to support liquidity among larger firmsYou must demonstrate that you were in sound financial health prior to the COVID-19 pandemic, which ordinarily means that you have a certain investment grade rating. 

Q: If I am a contractor working through my own limited company rather than being self-employed, what support is available?

A: Government has outlined that individuals who are unable to apply for the self-employment income support scheme, might be able to access other support such as deferral of Self Assessment income tax and VAT paymentsgrantsUniversal Credit and the Business Interruption Loan Scheme.

Q: School closures are having an impact on employees and presenting challenges to maintaining output. Are there any measures in place from Government to support this? 

A: ADS has informed Government of a number of key roles in our industry that we believe should be included in occupation criteria, to make sure the necessary support is available for those workers who can continue to work at their normal site. The full list of key workers as outlined by the Government can be found here.

Q: Are the interventions stated by the Government general or is there any specific support for the aerospace sector? 

A: Most of the support detailed is general in nature, available to companies across a wide range of sectors. The Government has subsequently ruled out a specific support package for the entire airline industry but will enter into negotiations with individual airlines seeking additional bespoke support. ADS has also asked for support measures such as business rates announced recently for other sectors to be extended to manufacturers. 

Q: To maintain the flow of orders, has Government indicated what it is doing to maintain development and issuing of Invitation to Tenders, Request for Quotations? 

A: Government’s current focus is on immediate support for business . ADS will continue to raise these issues with Government and ensure that the long-term implications are communicated and understood by Government. 

Working / Unable to work

Q: Can staff work when on furlough? 

A: To be eligible for the subsidy through the Coronavirus Job Retention Scheme, furloughed employees cannot undertake work for or on behalf of their company – this includes providing services or generating revenue. Further guidance on the Coronavirus Job Retention Scheme can be found here. 

Sick pay 

Will my employer be obliged to pay me while I stay at home? 

Statutory Sick Pay will be paid from day 1 instead of day 4 for those affected by coronavirus. 

Government guidance on sick pay can be found here. 

Q: What support is there for the self-employed? 

A: The Coronavirus Self-Employment Income Support Scheme (SEISS) will provide a grant to self-employed individuals or partnerships, worth 80% of their profits up to a cap of £2,500 per month. The business support website provides more information and FAQs.  You can also apply for Universal Credit. 

Q: Is there any specific guidance for production workers that cannot work from home? 

A: Government guidance has been issued advising companies that if a role cannot be done from home, such as in manufacturing, workers can continue to travel to their normal place of work. In addition, certain roles, such as defence contractors, have been defined as essential roles. 

Q: Is there guidance for high risk individuals regarding working? What are they eligible for if they do not go to work?   

A: Government has produced guidance on shielding and protecting people defined on medical grounds as extremely vulnerable from COVID-19 

Salaries can either be met through the Coronavirus Job Retention Scheme if employees are categorised as furloughed, or for those self-employed through specific support. Either scheme will provide 80% of normal earnings. Depending on circumstances, individuals may be able to claim Universal Credit, and if required can access advance payments upfront without needing to attend a Jobcentre. 

Q: What roles are categorised as key workers? 

A: ADS has informed Government of a number of key roles in our industry that we believe should be included in occupation criteria, to make sure the necessary support is available for those workers who can continue to work at their normal site. The full list of key workers as outlined by the Government can be found here 

As a key worker, if your school is closed then please contact your local authority, who will seek to redirect you to a local school in your area that your child, or children, can attend. 

Industry impacts

Q: Will ADS monitor impact of COVID-19 on major industry programmes, and communicate this with members?

A: ADS is working to make sure we have the fullest possible picture of the impact of COVID-19 on industry at all levels. Members will be receiving regular communication from ADS on these issues and we will look at how we can best support members facing impacts of issues with major industry programmes. 

QWhat analysis or models are available that demonstrate the impact on ADS sectors?  

A: ADS is monitoring the disruption to our sectors from a range of perspectives, from passenger demand through to supply chain disruption. As the full effects of the virus are still being felt and at this point in time are growing, it is difficult to identify specific timescales.

ADS has been clear in asks to Government that the UK manufacturing sector will require long term investment and R&D support to ensure future long-term competitiveness.  

Q: How will aircraft orders be affected given the decline of aviation around the world as a result of COVID-19? 

A: There still remains a global backlog of 14,094 aircraft orders in February 2020 which is significant for the industry. It is likely businesses will rely on these orders which translate to about 8 years’ worth of work. It is expected that over the coming months fewer new orders will be made, and deliveries of aircraft could be delayed.    

The potential impact on orders is likely to depend upon the length of restrictions on normal daily life, the effectiveness of Government support and the wider global economic outlook. It will be some time before there is a clear picture.  

Q: How affected is demand for civil aircraft parts like engines? 

A: ADS is monitoring the impacts on member companies and asking companies to share information on supply chains and future demand with us to build this picture. 

Other issues

Q: The Scottish Government has requested that all non-essential business should close, what is the official advice?  

A: ADS is encouraging UK and Scottish governments to coordinate their approaches. Guidance for businesses in Scotland can be found here. The Scottish Government has advised all business premises to close unless essential to health, supporting essential services, capable of working in a way which is fully consistent with social distancing or if wider public health, health and safety considerations apply.   

Q: With Brexit at the end of the year presenting another challenge for our sectors, what representation is ADS making to the Government? 

A: ADS continues to work with Government and officials as they negotiate future trade arrangements. The current situation presents clear challenges for the Government in achieving its ambition to negotiate and implement a new relationship with the EU to take effect when the transition period ends on 31 December 2020. ADS believes Government should consider whether a delay will be necessary, taking into account the economic disruption from COVID-19, delay in negotiations, and necessary focus of all levels of Government on the current situation. 

 

Can’t find the answer you were looking for? Contact us at covid19@adsgroup.org.uk and we will attempt to get back to you as soon as possible and answer common queries back here in the FAQs.