Hundreds of businesses and thousands of shops have had to close their doors over the past fortnight, sending workers home for the foreseeable future.
Bars, retailers and coffee shop chains have had to close on Government orders, but in many cases, offices have also shut due to a sudden drop in demand.
As a result, many firms have applied for funding through the Government's employee retention scheme, which will cover their staff's wages for at least two months.
Under the scheme, the Treasury will pay 80% of staff earnings until June, while the employer will pay 20%.
However the contribution caps at £2,500, equivalent to the average UK salary of £30,000, which means some people will have to take a pay cut as they head home until further notice.
In other cases, such as McDonald's and Wetherspoons, firms have refused to cover the 20%. This effectively means workers will see their wages fall over the next couple of months.
So what are your rights if you've been offered a salary cut? We asked Slater and Gordon employment lawyer, Danielle Parsons for some advice on where you stand.
"If there is no way to keep staff working at the moment then the only option for some businesses may be furlough," Danielle explains.
Many business are choosing this method because they don't have the money to pay their staff during the closures period.
"For employers planning to furlough staff, they must put this option to employees for them to agree first as it is a change to their terms and conditions.
"Employee pay shouldn't be cut without an employer first informing staff who must agree to this before it comes into effect, and this should be done in writing."
However Danielle explains that if a worker refuses to accept the pay cut, the firm may consider job cuts due to lack of funds.
"For those staff with salaries over £30,000 or not topped up by an employer, this would mean a pay cut.
"Unfortunately if the business does not pick up in the longer term and cash flow doesn’t improve then this could give rise to a redundancy situation."
We've got a full guide on furlough and redundancy, here.
