108:
574:
services and found that there were "mixed views" about whether professional services should continue to be covered by the service provision change regime. In certain sectors, particularly advertising, there was strong support for the idea of introducing an exemption. However, lawyers have highlighted problems with the operation of the New
Zealand equivalent of TUPE and warned the government to be cautious in trying to exclude certain groups of employees.
710:(19 July 2011) Bean J, tribunal was right to find there was no transfer under TUPER 2006 r 3 where the learning-disabled residents of an NHS care home were rehoused in individual homes following the closure of the home and the care workers formally employed by the NHS trust were employed by different care providers to provide support to the residents.
40:
726:(2012), UKEAT/0036/12/BI, at the Employment Appeal Tribunal in Edinburgh. The EAT overruled the Employment Tribunal's decision, requiring that compensation paid out-of-court by another putative employer should be deducted from the amount ordered by the tribunal to be paid by Optimum for unfair dismissal, as otherwise the claimant benefitted from
418:
the original owner. Also, the Tapere case ruled on the interpretation of mobility clauses, and where a relevant transfer involves a substantial change in working conditions which is to the employee's material detriment, held that "detriment" should be considered using the subjective approach which applies in discrimination law.
309:
This does not apply to transfers which go merely through the sale of a company's shares (a "share sale"). When that happens, because the employer (i.e. the original company) remains the same legal entity, all contractual obligations stay the same. The directive and regulations apply to other forms of
283:, protecting employees whose business is being transferred to another business. The 2006 regulations replace the old 1981 regulations (SI 1981/1794) which implemented the original Directive. The law has been amended in 2014 and 2018, and various provisions within the 2006 Regulations have altered.
569:
Dr John McMullen, an expert on TUPE, is quoted as saying: "If you had an organised grouping of solicitors at a law firm devoted to one client, and that client said 'I do not want this law firm, I will appoint law firm X', then TUPE 2006 could apply so that—contrary to what the client is expecting or
565:
Under the new rules, if a client decides to source their legal work from a different provider, the legal team from the old provider would be entitled to transfer to the new provider under the same terms and conditions as before; if the new provider were to object, the new employees would be entitled
586:
When the new company takes over the work of its predecessor, it must take on the staff (from the old company) on their existing terms and conditions. This can create the situation where a "transferring" employee may be employed on enhanced terms compared with an employee already employed by the new
599:
An extended model of TUPE which aims to address "widely recognised" limitations to the TUPE framework, known as "TUPE Plus" or "TUPE+", has been recommended by Trade Unions and employment advisors. TUPE Plus encompasses a number of enhancements to TUPE which could be included in service contracts,
577:
There are potential problems for employees as well. An employee might not want to transfer to the new employer. But, in those circumstances their only option is to "object" which in essence is a resignation but does not impose a duty on the employer to pay notice pay. As their role continues (with
548:
The benefits to individual workers are clear; TUPE prevents the possibility of everybody in the firm losing their jobs, just because the company providing the service changes. This gives employees increased certainty. A side-effect of the new regulations could prove unfortunate for some employers.
417:
ICR 405, Court of Appeal) it was decided that an employee who resigns on or before a TUPE transfer because of well-founded fears that the new owner intends to impose worse terms and conditions of employment than those provided by the original owner can claim constructive wrongful dismissal against
305:
These obligations of protection are placed on the transferring companies both before, during and after the transfer. The obligations are relieved if there is an "economic, technical or organisational" reason for the cessation of employment (Regulation 7(1)(b)), or alteration to employees terms and
403:
where an employee objects to the change in the identity of the employer, then r.4(7) states he will not transfer to the new employer. He is to be treated as if his contract terminated when the transfer takes place, but that he is not dismissed (unless of course the employer actually does dismiss
590:
This could result in a situation where a transferring employee (whose old contract gave them an enhanced holiday entitlement) may be working alongside an existing employee of the new company (working under a contract of employment whose terms were set by the "new" company) who has less generous
573:
Objections to the new regulations had been raised during consultation. An exemption for professional services firms had apparently been mooted by the government but was eventually ruled out. In 2012, the UK coalition government sought feedback on the efficacy of TUPE in relation to professional
399:
in r.4(4) it says that variations of employment terms 'shall be void' if the main reason is the transfer itself or 'a reason connected with the transfer that is not an economic, technical or organisational reason entailing changes in the workforce.' In r.4(5) it is emphasised that employees and
736:(2014): the Employment Appeal Tribunal overruled the finding of the Employment Tribunal that three members of one family working for a painting and decorating company, Anne, Robert and Graham Gormanley, were an organised grouping whose principal purpose was the provision of services for the
438:
states that employees will be considered dismissed unfairly, if they are dismissed without the employer showing an economic, technical or organisational reason for dismissal. What is certainly not included in this concept is dismissals simply to improve the price of the company before its
608:
In April 2011, the UK government proposed a number of reforms to TUPE. These were enacted in the
Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014, SI 2014/16, also known as CRATUPEAR, which came into force on 31 January 2014.
310:
transfer, through the sale of physical assets and leases. The regulations also apply in some cases for work transferred to contractors. This protected contract terms for workers include hours of work, pay, length of service and so on, but pension entitlement is excluded.
517:
Imagine a company that has in-house cleaners. The company decides that they want to tender-out the contract for cleaning services. The new company that takes over the work may employ the same cleaners. If it does so, TUPE will make it likely that
1298:
1293:
818:
Council
Directive 2001/23/EC of 12 March 2001 on the approximation of the laws of the Member States relating to the safeguarding of employees' rights in the event of transfers of undertakings, businesses or parts of undertakings or
587:
company. Harmonisation of the terms and conditions between the two groups of employees is generally not possible as the "reason" for it would be the TUPE transfer which (except in limited circumstances) is specifically prohibited.
720:(2011), EAT case. Lady Smith ruled on the separation of the question about whether there was an "organised grouping" of workers and the question of whether particular claimants belonged to that grouping.
654:
1303:
387:'shall have effect after the transfer as if originally made between the person so employed and the transferee'. So new business buyers cannot escape the old business' obligations to its workforce
446:(s.98(2)(c)). The result for the employee is that he is considered redundant, and thereby should receive a compensation payment if they have been an employee for more than two years under s.135
453:
importantly, an employee dismissed by the seller of the business is deemed to have been dismissed by the purchaser too. This means an unfair dismissal claim can be brought against either party.
540:
This is also the case where a target business (as distinct from shares in a company) is bought from company A by company B (often much larger) and integrated with the business of company B.
442:
where there is an economic, technical or organisational reason for dismissals, these are considered 'substantial reasons' (i.e. justified reasons) under the fair dismissal provisions of the
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1026:
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1344:
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it also points out that to fall within the protection of TUPE, you had to have had an employment contract "immediately before the transfer", r.4(3). This was the issue in
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695:
373:
a new exception is that an 'administrative reorganisation of public administrative authorities' will fall outside TUPE's scope is still unknown in its effect, r.3(5)
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wanting—it may find that the lawyers would have the right to turn up at the newly appointed law firm. The definition of 'organised group' can be just one person."
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the new employer) they are not redundant and therefore have no entitlement to redundancy pay and cannot (except in limited circumstances) claim unfair dismissal.
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the definition of an undertaking, to which the regulations apply as something engaged in economic activities, whether public or private, comes from an
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including a guarantee that TUPE would last for the whole length of a contract, because the regulations themselves do not specify a time period.
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where the contract is varied detrimentally on transfer, employees can treat themselves as dismissed by the employer. In the
Humphreys case (
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50:
1141:
366:
61:
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The regulations' main aims are to ensure that, in connection with the transfer, employment is protected (i.e. substantially continued).
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the regulations make clear that a service which is merely performing a 'single specified task' does not fall within TUPE, r.3(3)(a)(ii)
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If any staff are dismissed by either employer for a reason connected with the new arrangement this will automatically be deemed an
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ICR 341, where a relaxed and purposive interpretation was given. So, "immediately" can really mean a while, with wiggle room.
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employers can agree to change terms where this is not the case. The normal rule is that even consensual agreements are void.
1247:
923:
631:
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it also now applies explicitly to a 'service provision change', i.e. contracting out services. An example of this case is
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Collective
Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014
558:
1039:
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that states a
Knowledge (XXG) editor's personal feelings or presents an original argument about a topic.
1142:
https://www.managementtoday.co.uk/uk-facilities-management-when-bit-players-centre-stage/article/410865
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ICR 542, says the reason would have to be one connected with the business' future prospects.
534:
1147:
https://cleaningmag.com/news/tupe-and-redundancy-causing-headaches-for-cleaning-contractors
301:
affected employees are informed and consulted through representatives prior to the transfer
463:
9. Variations of contract where transferors are subject to relevant insolvency proceedings
1114:
636:
1257:
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employer, although future recruits may be appointed on different terms and conditions.
273:
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the definition of economic entity as an 'organised grouping of resources' comes from
280:
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562:, law firms might be forced to employ teams of lawyers when taking over contracts.
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and the new employer will be liable for any statutory claims arising as a result.
1110:
804:
727:
252:
235:
Text of the
Transfer of Undertakings (Protection of Employment) Regulations 2006
17:
1299:
Fixed Term
Employees (Prevention of Less Favourable Treatment) Regulations 2002
1194:
1125:
1119:
237:
as in force today (including any amendments) within the United
Kingdom, from
1294:
Part-time
Workers (Prevention of Less Favourable Treatment) Regulations 2000
298:
employees' most important terms and conditions of contracts are not worsened
447:
1040:
If you're one of two employers being sued, don't be the first to settle
415:
University of Oxford v Humphreys (1) and Associated Examining Board (2)
125:
27:"TUPE" redirects here. For the district in Yauyos Province, Peru, see
1153:
549:
This has been particularly highlighted in connection with law firms.
1314:
Transfer of Undertakings (Protection of Employment) Regulations 2006
1111:
Transfer of Undertakings (Protection of Employment) Regulations 2006
985:
UNISON Barnet: Future Shape of the Council Programme, September 2008
249:
Transfer of Undertakings (Protection of Employment) Regulations 2006
182:
Transfer of Undertakings (Protection of Employment) Regulations 1981
96:
Transfer of Undertakings (Protection of Employment) Regulations 2006
1053:
London Borough of Hillingdon v Gormanley & Ors UKEAT/0169/14/KN
1157:
478:
12. Remedy for failure to notify employee liability information
1304:
The Information and Consultation of Employees Regulations 2004
33:
340:
language of whether an entity retains its identity, r.3(1)(a)
51:
personal reflection, personal essay, or argumentative essay
655:
Süzen v Zehnacker Gebäudereinigung GmbH Krankenhausservice
1284:
Trade Union and Labour Relations (Consolidation) Act 1992
1122:, Chartered Institute of Personnel and Development (CIPD)
522:
employer will have to employ the cleaners subject to the
428:
6. Effect of relevant transfer on trade union recognition
378:
4. Effect of relevant transfer on contracts of employment
1027:
London Borough of Hillingdon v Anne Gormanley and Others
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5. Effect of relevant transfer on collective agreements
57:
667:
Oy Liikenne Ab v Pekka Liskojärvi and Pentti Juntunen
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7. Dismissal of employee because of relevant transfer
261:
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National execution measures of Directive 2001/23/EC
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London Borough of Hillingdon v Gormanley and Others
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1055:, published 19 December 2014, accessed 15 May 2021
1042:, published 16 February 2013, accessed 7 July 2021
766:Temporary and Agency Worker (Equal Treatment) Bill
473:11. Notification of Employee Liability Information
786:Worker Adjustment and Retraining Notification Act
696:Werhof v Freeway Traffic Systems GmbH & Co KG
1095:Text of the Acquired Rights Directive 2001/23/EC
1089:Text of the Acquired Rights Directive 77/187/EEC
833:(Hart 2019) ch 19(1)(c). S Deakin and G Morris,
896:Whitehouse v Charles A Blatchford & Son Ltd
1264:Employment Protection (Consolidation) Act 1978
1218:Conspiracy and Protection of Property Act 1875
761:Mergers and acquisitions in United Kingdom law
707:Nottinghamshire Healthcare NHS Trust v Hamshaw
679:Tapere v South London & Maudsley NHS Trust
498:16. Failure to inform or consult, supplemental
483:13. Duty to inform and consult representatives
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714:Edinburgh Home-Link Partnership and others v
503:17. Employers' Liability Compulsory Insurance
8:
1021:
1019:
1000:, published 5 May 2014, accessed 6 July 2021
95:
1345:Statutory instruments of the United Kingdom
924:"TUPE changes 'force' legal teams on firms"
526:terms and conditions as they had under the
383:the core of this law, r.4(1) provides that
1176:
1162:
1154:
998:CRATUPEAR Annulment? Redundancies and TUPE
94:
805:"Citation - HR And Employment Law - TUPE"
643:Spijkers v Gebroeders Benedik Abattoir CV
80:Learn how and when to remove this message
1038:Brahams Dutt Badrick French LLP (BDBF),
1029:, 19 December 2014, accessed 6 July 2021
488:14. Election of employee representatives
796:
1120:TUPE research, guidance and factsheet
848:"EUR-Lex - 31977L0187 - EN - EUR-Lex"
775:(5 July 2000) Appeal No: EAT/1243/99,
228:Text of statute as originally enacted
7:
751:Cabinet Office Statement of Practice
404:him), r.4(8). This issue came up in
319:1. Citation, commencement and extent
214:Transfers of Undertakings Directive
508:18. Restriction on contracting out
407:Wilson v St Helens Borough Council
277:Transfer of Undertakings Directive
25:
983:European Services Strategy Unit,
922:Rothwell, Rachel (9 March 2006).
772:Taylor v Connex South Eastern Ltd
724:Optimum Group Services plc v Muir
620:Taylor v Connex South Eastern Ltd
367:Höfner and Elser v Macrotron GmbH
306:conditions (Regulation 4(4)(b)).
1309:Gangmasters (Licensing) Act 2004
1238:Contracts of Employment Act 1963
688:University of Oxford v Humphreys
493:15. Failure to inform or consult
113:Parliament of the United Kingdom
106:
38:
1228:Workmen's Compensation Act 1906
1223:Workmen's Compensation Act 1897
1213:Criminal Law Amendment Act 1871
1137:Personnel Today's TUPE resource
1106:Summary of Directive 2001/23/EC
947:"TUPE could force lawyer moves"
1:
1248:Industrial Relations Act 1971
632:RCO Support Services v Unison
566:to sue for unfair dismissal.
279:. It is an important part of
199:Employment Relations Act 1999
194:European Communities Act 1972
1253:Employment Agencies Act 1973
1025:Employment Appeal Tribunal,
945:Rohan, Paula (26 May 2005).
738:London Borough of Hillingdon
987:, accessed 25 November 2022
974:, accessed 25 November 2022
295:employees are not dismissed
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1289:Employment Rights Act 1996
625:Employment Appeal Tribunal
444:Employment Rights Act 1996
92:United Kingdom legislation
26:
1340:United Kingdom labour law
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1051:Employment Cases Update,
716:City of Edinburgh Council
272:'s implementation of the
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100:
1069:A Casebook on Labour Law
912:, accessed 9 August 2022
831:A Casebook on Labour Law
393:Litster v Forth Dry Dock
255:) known colloquially as
134:Territorial extent
1355:2006 in labor relations
1233:Trade Disputes Act 1906
1132:Employers guide to TUPE
1113:(SI 2006/246). Also in
1074:S Deakin and G Morris,
1071:(Hart 2019) ch 19(1)(c)
559:The Law Society Gazette
1013:, accessed 6 July 2021
329:3. A relevant transfer
156:Laid before Parliament
60:by rewriting it in an
1279:Trade Union Act 1984
1208:Trade Union Act 1871
662:1 CMLR 768; ICR 662
385:employment contracts
370:ECR I-1979 r.3(4)(a)
352:RCO Support Services
101:Statutory Instrument
1350:2006 in British law
1274:Employment Act 1982
1269:Employment Act 1980
97:
1243:Equal Pay Act 1970
1184:UK labour statutes
1128:on the Regulations
910:Two-tier workforce
780:Law outside the UK
691:ICR 405, IRLR 183
627:(EAT), EAT/1243/99
362:EC competition law
334:this takes on the
239:legislation.gov.uk
62:encyclopedic style
49:is written like a
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1319:Equality Act 2010
882:eur-lex.europa.eu
852:eur-lex.europa.eu
837:(Hart 2012) ch 5.
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169:6 April 2006
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674:, IRLR 171
623:(5.7.2000)
554:Law Society
354:, r.3(1)(b)
253:SI 2006/246
1334:Categories
1195:Truck Acts
1115:pdf format
1097:(in force)
1091:(repealed)
1076:Labour Law
1062:References
835:Labour Law
819:businesses
718:and others
544:Evaluation
268:, are the
209:Transposes
187:Made under
595:TUPE Plus
582:Anomalies
908:Unison,
745:See also
701:C-499/04
672:C-172/99
528:original
448:ERA 1996
410:2 AC 52;
337:Spijkers
314:Contents
121:Citation
699:(2006)
670:(2001)
660:C-13/95
658:(1997)
648:C-24/85
646:(1986)
513:Example
287:Purpose
126:SI 2006
56:Please
1260:(1977)
968:Unison
604:Reform
792:Notes
613:Cases
439:sale.
345:Suzen
143:Dates
1200:The
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864:See
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265:-pee
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148:Made
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