LIverpool take a U-turn on decision to furlough staff
Liverpool have announced that they no longer intend to use the government’s coronavirus job retention scheme to pay staff, following widespread criticism. The Reds furloughed staff taking advantage of the scheme where the state would pay 80% to workers’ wages throughout the crisis.
Liverpool received criticism for this decision even from high-profile ex-players like Jamie Carragher because the scheme was created for vulnerable businesses during the coronavirus uncertainty. Liverpool, meanwhile, had announced pre-tax profits of £42 million as recently as February.
Now, as a response to the criticism, the club has since backtracked on the move, with chief executive officer Peter Moore writing a letter to fans to explain the decision. Liverpool’s official website published Moore’s letter where he wrote, “We believe we came to the wrong conclusion last week to announce that we intended to apply to the Coronavirus Retention Scheme and furlough staff due to the suspension of the Premier League football calendar and are truly sorry for that.”
“Despite the fact we were in a healthy position prior to the crisis, our revenues have been shut off yet our outgoings remain and like almost every sector of society, there is great uncertainty and concern over our present and future.”
Moore also wrote about the financial resources and gave a glimpse of how such a pandemic has affected the club and how sluggish everything becomes when football stops. Moore then signed off by thanking those who have engaged in the matter in a ‘productive way’, while revealing the fact that the club is currently trying to explore all avenues within their scope to limit the inevitable damage.
In the Premier League, Tottenham, Norwich, Bournemouth and Newcastle United have also opted to use the government scheme and place non-playing staff on furlough. However, just moments after Liverpool passed a new statement, a statement from Manchester United was also passed that said that the Red Devils will not make use of the furlough scheme.
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