June 2020

JUNE 2020 AFTERMARKET 41 www.aftermarketonline.net be wearing protective masks throughout each day going forward. In addition, at every entrance, employees would have their body temperature measured before entering the workplace. 29 April: Apprenticeship Levy rethink urged as COVID-19 impacts on funding The IMI is urged a rethink by the Department for Education (DfE) regarding the use of Apprenticeship Levy funds. Currently, if funds automatically made by large employers with £3 million or more annual turnover are not used within 24 months, they go back to the DfE. At present, 53% of apprentices in the overall automotive sector have been furloughed according to an ongoing IMI survey, and 83% of those have said they are unable to continue to study in the same way they had been prior to lockdown. Mark Armitage, IMI Head of Membership Products and Services, commented: “The problem is the current process of how Apprenticeship Levy funds are withdrawn. Funds from larger employers automatically go into a pot for use by their providers for apprenticeship training. With that activity heavily impacted as a result of the Coronavirus though, if the 24- month rule stays in place we are going to see many firms having to stop apprenticeship recruitment and training. If that occurs, the knock-on effect will be less apprentices coming through the system by the mid 2020s – just when all the focus will be on ramping up electric vehicle adoption and therefore the increased demand for talent with the skills to work on this new technology. He added: “The DfE could hit the pause button on withdrawing unused Levy funds, both now and over the next two years, so that training providers can draw down the funding that employers have automatically paid in, once the lockdown is over and apprentices can get back to work and to their courses.” 4 May: Small business Bounce Back loans go live The Bounce Back Loan scheme went live, through which businesses can access funding in the form of small business loans, 100% backed by the Treasury. Businesses can borrow between £2,000 and £50,000, with the cash arriving within days. The government has agreed with lenders that a flat rate of 2.5% interest will be charged on these loans. Any business that has already taken out a Coronavirus Business Interruption Loan of £50,000 or less can apply to have these switched over to this scheme. The loans are available through a network of lenders, including the five largest banks. For more details, go to www.gov.uk/guidance/apply-for-a- coronavirus-bounce-back-loan 7 May: ECP addressed delivery delays ECP CEO Andy Hamilton took to social media to speak directly to customers of Euro Car Parts, to thank them for their patience across the COVID-19 crisis. In a video posted on Twitter, as well as on Facebook, Andy said: “Sincere apologies to anyone who has been impacted in delays for orders. Now we are back to kind of normal working conditions, I’d say ‘new’ working conditions, orders are back on track now. If you are still waiting, please bear with us. We are working through the backlog that was created near the start of this. “The customer services team have obviously seen a massive increase in contact during this time. They are doing their utmost to support and get through, and we will get ourselves in a position where we can supply those goods to you.” Andy continued: “Thank you for your ongoing understanding and patience, and we are incredibly proud of the way that the team has responded. We had to change the organisation pretty substantially over the last few weeks. He added: “We also do a lot of work with the emergency services, and with the roadside recoveries. So, we are trying to ‘Keep Britain Moving’ as much as we can.” 10 May: PM encouraged car use for workers Prime Minister Boris Johnson addressed the nation, and explained how the message on COVID-19 was being amended, with people being encouraged to return to work from Wednesday 13 May where possible. He said: “We said that you should work from home if you can, and only go to work if you must. We now need to stress that anyone who can’t work from home, should be actively encouraged to go to work, and we want it to be safe for you to get to work, so you should avoid public transport if at all possible, as we must and will maintain social distancing.” Garages in England could see an increase in demand from motorists as a result, with the government urging people to opt for cars or cycling instead of public transport. The Prime Minister explained: “When you do go to work, if possible do so by car, or even better by walking or bicycle.” Despite the emphasis change announced by the Prime Minister, advice in Scotland and Wales remains the same, and ‘stay at home’ continued to be the message. 14 May: COVID-19 guidance issued to automotive aftermarket Garages looking to ramp up their operations received new sector- specific guidance, as the lockdown gradually eased. The GEA, IAAF, IMI, SMTA and SMMT Automotive Aftermarket Guidance and Best Practice complements official advice. It is also intended to help the aftermarket demonstrate safe practices for employees and customers across all points of interaction. SMMT Chief Executive Mike Hawes said: “With government advice stating that workers should avoid public transport when returning to work, the use of private cars is likely to rise more sharply than it already has over recent weeks. Given many of these vehicles have been idle for weeks, a reconsideration of the six-month MOT extension needs to be made as soon as possible. It is timely that the aftermarket can assure customers and colleagues that it is ready to re-open safely to ensure workers’ vehicles remain roadworthy. This is essential, not just for the sector, but for the restart of the wider UK economy.” To view the guidance visit: https://bit.ly/3bv7O5M Looking ahead The government’s gradual rolling back of lockdown measures had tentatively begun as we went to press. Aftermarket will continue to follow all the relevant stories in order to keep you up to date.

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