Businesses will have to start paying a quarter of furloughed workers' wages under plans to wind the scheme down, it's claimed.
From August, companies will be asked to help foot the bill for the Government's Job Retention Scheme, the Times reports.
Chancellor Rishi Sunak has pledged to keep the subsidy, which is currently propping up an estimated 8 million jobs, in place until at least October.
But in a bid to "wean" companies off it, he is expected to announce next week that employers will have to make contributions as lockdown restrictions are eased.
It is understood that the Treasury has come up with a plan which would see employers cover between 20% and 30% of a worker's salary.
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Firms will also be asked to start paying national insurance contributions - usually about 5% of people's wages - although the government will keep paying pension contributions.
All employers will have to make the payments, regardless of whether their business is allowed to open under lockdown rules.
From August, companies will also be allowed to take furloughed workers back on a part-time basis.
Companies will need to declare how many hours employees have worked, with people encouraged to report bosses who do not comply.
Under the furlough scheme, millions unable to work due to the coronavirus pandemic now have up to 80% of their wage paid by the state, up to £2,500.
One in three workers in the private sector benefits from the scheme, which the Office for Budget Responsibility says could ultimately cost up to £80 billion.
Earlier this month, millions of workers received a lifeline when Mr Sunak extended furlough payments by four months.
But he also announced that the government will stop funding the full cost from August 1, and expects companies to make up the rest themselves.
A Treasury source told the Times: "We've got two full months of support left and afterwards the government will help to pay people’s wages, but it’s fair to everyone that businesses contribute as they get back to work.”
The announcement has sparked fears there could be a wave of redundancies if firms decide they can't afford the difference.
The hospitality industry is understood to be particularly worried about the changes, as pubs, cafes, restaurants and hotels are expected to be some of the last businesses to re-open after lockdown.
