Tupe rights how long
It is important that the reason for any changes be separated from the transfer as far as possible and that appropriate evidence can be provided. As such, recording management discussions and decision-making in writing is crucial here. New employers should review the contracts of employment of the transferring employees as changes to their terms and conditions may be permissible under their contract terms, such as where there is a mobility clause.
Written records should document the discussion with the employee and any consent should be given in writing and kept on file. Collective agreements which have transferred across to the incoming employer can be renegotiated, provided that 12 months or more has passed since the transfer and that the changes are not detrimental to the employees in question.
An incoming employer can make redundancies post-transfer if these are for an ETO reason. Again, the employer must be able to show that a true ETO reason exists and that it is not just a smokescreen to enable them to streamline the workforce after the transfer has taken effect.
The proper redundancy processes must also be followed. Any redundancies made by the incoming employer in breach of TUPE will result in the relevant employees being able to bring a claim for unfair dismissal against the incoming employer. It is therefore of paramount importance that employers comply with TUPE. As it is a complex piece of legislation and much will depend on the individual facts of each transfer, legal advice should always be obtained if a TUPE situation arises or could potentially arise.
Working closely with our specialists in HR , we provide comprehensive guidance on how to approach and implement organisational change projects to minimise legal risk while ensuring commercial goals are achieved and employee engagement is optimised.
For help and advice, speak to our experts. Employees will have notice of the transfer as the employers must consult with them prior to the transfer taking place. The terms and conditions of employment of transferring employees cannot be changed if the sole or principal reason behind the change is the transfer, although a change which is for an ETO reason is permitted.
Therefore, large and complex transactions involving many staff members will require a longer consultation period than simpler transactions. By submitting, you agree to our Privacy Policy.
London Cambridge Aberdeen Manchester Birmingham. Call Employment Team. Unlimited HR help for a fixed, low monthly fee. The Transfer of Undertakings Protection of Employment Regulations , as updated by various statutes and regulations, cover the transfer of an undertaking, or part of one, from one business to another.
TUPE protects employees by entitling them to the same terms and conditions, with continuity of employment, as they had before the transfer. TUPE applies to all relevant transfers, including situations where services are assigned to a new contractor, for example in labour-intensive services such as office cleaning, catering, security and refuse collection.
The Government and Acas have both published guidance on complying with the law for employers, employees and their representatives. Changes of contractors for labour intensive activities, such as security, catering, refuse collection and cleaning, have caused confusion in the past, but TUPE usually applies in these situations. TUPE may also apply where an organisation, such as an advertising agency or a law firm, takes over a client from another firm following a tender process.
The new firm may be under an obligation to take on the staff working on the client account for the previous firm. This should include identifying key risks and holding a genuine dialogue with employees throughout the process. All employees employed in the organisation or part of the organisation that is transferring will be entitled to carry on working for the new organisation with their existing terms and conditions of employment. Their continuity of service is also preserved.
The transferee also takes over the liability for all statutory rights, claims and liabilities arising from the contract of employment, for example liabilities in tort, unfair dismissal, equal pay and discrimination claims. The exception to this rule is criminal liabilities. It may be possible to negotiate warranties and indemnities which will provide a partial, or total, cushion against the financial impact of any claims resulting from the application of TUPE.
Our practical guidance for people managers on the requirements for transfers of staff provides a minimum set of standards for all parties and includes sections on service provision transfers, steps to follow when transferring staff teams, pension issues, and the challenges if employers want to try and dismiss or harmonise terms and conditions.
If an employee is dismissed because of the transfer, their dismissal is automatically unfair. However, the dismissal will not be automatically unfair if the employer can show an 'economic, technical or organisational' ETO reason entailing a change in the workforce. ETO reasons are explained further below. Dismissal more generally is covered in our dismissal factsheet. The transferor must conduct a full and meaningful consultation with employees at the earliest feasible time.
Employers who failure to consult properly can be required to pay staff up to 13 weeks' pay in compensation. The transferor and transferee are both liable to pay this compensation. If there are no trade union or employee representatives, then the law stipulates that representatives must be elected by the affected employees for the purposes of consulting over the transfer. The employer must facilitate the election process.
Micro businesses under 10 employees can inform and consult with employees directly if there is no trade union. See Redundancy. Yes you can be made redundant and new changes to TUPE law have made it possible for you to be made redundant before the handover, i. If you do not want to transfer you can request redeployment depending on the size of the organisation or to be considered for redundancy if available.
The only other alternative is to resign. The trade union will endeavour to secure redeployment for members where possible. All pension accrued under the former employer are protected.
In some case the new employer will continue to contribute to this scheme. Any trade union recognition will transfer across to the new employer. The trade union will get agreement from the new employer that recognition will continue. If you currently pay your subscriptions through your payroll then the trade union will negotiate with the new organisation for this to continue during the consultation process. This folder will be transferred across with you to your new employer. It is advisable therefore, to ask to see your personal file to ensure that there is no information retained that is spent.
Your new employer should make sure any differences in terms do not treat particular groups of employees unfairly. Find out more about discrimination and the law. If a contract change is unrelated to the transfer, TUPE regulations do not prevent you and your employer from making changes to your terms and conditions. Your new employer may have valid reasons for agreeing contract changes with you. For example, if business needs have changed for reasons that do not relate to the transfer.
You and your employer must agree to any changes and follow the usual process for changing an employment contract. If you like, you can tell us more about what was useful on this page. Please do not include any personal details, for example email address or phone number. If you have a question about your individual circumstances, call our helpline on We cannot respond to questions sent through this form. Changing your employment contract after a TUPE transfer After a TUPE transfer, employers can agree with employees to change an employment contract following the usual process.
If the main reason for a contract change is the transfer Your new employer can only make changes because of the transfer if either: they improve your terms and conditions, for example your employer increases your holiday entitlement annual leave there is an 'economic, technical or organisational' ETO reason involving a change in the workforce, for example your organisation needs restructuring TUPE regulations give some protection to your terms and conditions for an indefinite period.
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