TUPE

TUPE — the Transfer of Undertakings (Protection of Employment) Regulations 2006 — protects employees when the business they work for changes hands. It covers two situations: a business or part of one being sold or transferred, and a service provision change, where a contract such as catering, cleaning or care moves to a new provider, is outsourced, or is brought back in-house. The second kind is everyday life in hospitality and care.

What transfers

Employees assigned to the transferring business or contract move to the new employer automatically, with their existing terms and conditions, continuity of service and most liabilities intact. Changing terms because of the transfer is generally void, and dismissing someone because of the transfer is automatically unfair unless there is a genuine economic, technical or organisational reason involving workforce changes.

The process

Both old and new employer must inform — and where measures are envisaged, consult — representatives of affected staff before the transfer. The outgoing employer must also provide employee liability information (identities, terms, claims and the like) to the incoming one in advance, at least 28 days before the transfer. For staff on the ground, the practical reassurance matters as much as the law: same job, same terms, new name on the payslip.

Transfer of Undertakings (Protection of Employment) Regulations 2006, as amended — guidance from ACAS and GOV.UK.

Related terms

• Redundancy pay
• P45
• Probation period