TUPE often occurs in situations where tenders for work are won or lost or when businesses or part of a business is bought over, to name a few typical scenarios.
Transfer of Undertaking Regulations and Service Provision Change legislation sets out the protection employees have when they transfer from one employer to another under TUPE.
It details what the employers responsibilities are to the employees prior to, during and after the business transfer. This is a very complex piece of legislation.
Employers are required to:-
- Identify those employees who will be effected
- Appoint employee representatives to present the effected group of employees
- Inform and consult with staff regarding the details of the transfer
- Advise staff of any changes that may take place after the transfer such as restructuring, change of location, potential redundancy etc
Failure to follow the informing and consultation process alone can give rise for employees to claim up to 90 days compensation each.
Hand picking those you will accept to transfer to your business, reducing employees terms and conditions on transfer or selecting an employee for redundancy for reasons directly connected to the transfer are all big ‘No No’s’in regards to TUPE legislation and could cause huge financial consequences including unfair dismissal claims being brought against the company.
We can provide you with information in relation to your responsibilities as an employer under the TUPE and Service Provision Change legislation.