When a business is transferred or sold to another entity, or taken over by another entity, a piece of legislation protects the terms and conditions of the employees’ terms of employment.
These regulations are called TUPE or the Transfer of Undertakings (Protection of Employment) Regulations. In practice what this means is that you can continue to work in your job, and that all your rights, holiday entitlement, pension and any claims that you’ve made against your existing employer all transfer over to the new employer.
Your existing employer has a duty to consult representatives of its workforce. This may be elected members of the group of employees, or it could be a member of the trade union, if you belong to one. This consultation has to include a number of things: firstly why the transfer is occurring, and when it is going to happen; what effect this will have on you as an employee, and whether there is likely to be any reorganising.
If there is, you are entitled to know how this may impact on you. You should be given a reasonable amount of time to be able to consider this information with a view to being able to reach an agreement between the employer and its workforce. Your spokesperson can make representations relating to any proposed reorganisation or other measures, and may for example state reasons why any proposals are rejected.
If You Don’t Want to Transfer Over
If, however, you decide that you do not want to work for the new employer you are entitled to object to the transfer and your contract of employment simply comes to an end. It is not always a good option to do this because you will lose certain rights. In these circumstances, you would lose the right to a redundancy payment, and will not be able to make a claim for unfair dismissal.
If You do Transfer Over
When you transfer over to the new employer, they become obligated to honour the terms of your contract. If they do not, this amounts to a breach of contract. If you discover that there is no job available for you, you may be able to take both your previous and new employers to an Employment Tribunal. If, after the transfer, the new employer wants to cut down on the number of employees, you may be selected for redundancy.
Economic, Technical or Organisational Reasons
If as a result of the business transfer you are dismissed, this will automatically be deemed to be an unfair dismissal, save for in one circumstance. This is if the reason is deemed to be an ETO reason (economic, technical or organisational), in which case it will not be unfair. Redundancy is one such ETO reason.
Once you have transferred over to the new employer, make sure that you receive an up to date employment statement. This should reflect the fact that you now have a new employer and will state that the terms and conditions of your employment remain the same.
I was tupa over and worked for new company for 2 weeks and then left will I get holiday pay
nic - 26-Oct-16 @ 8:11 PM
@k0gg1242 - I have included an ICO link herewhich will tell you everything you need to know about what employee information
is diclosed under TUPE. I hope this helps.
ContractsAndAgreements - 15-Jan-15 @ 12:34 PM
My company was tupe'd on 01/05/14 I had taken legal proceedings against my old boss a few weeks beforehand. My current boss never knew of the claim and had never been asked to sign a TUPE agreement as far as I am aware. I am worried that the claim will pass onto my current boss as is he.
k0gg1242 - 15-Jan-15 @ 1:28 AM
I am now 2 years into a tupe transfer. the new employer wants to move me
off the contract to a different one. even though there is loads of work and they are
using subcontractors. can you tell me if I have to leave the contract that I got tuped to.
mickyf - 8-Jul-14 @ 5:35 PM
Hi I recently had a full knee replacement in November 2012 and return back to work in may 2013 with light duties, this only happen for the first week, I then started to do more hours on the second week, I then return back to hospital may 2013 for fluid on the operation knee. I returned back to work a few weeks after, I stop work for the Wimbledon Tennis championship return back to work and work until October when I had to return back to hospital to check the knee was not infection inside. Would like to say no OH was every done on me when I first return back to work, the only time this was done is I made a complain to the company about my disability and was not prepared to return back to hospital. I was transfer on a tupe contact in December 2011 and had my accident in may 2012, would like to ask if my tupe contract can be changed because of my accident of light duties my mobile 07729337682
Thank you Darius
dk - 6-Apr-14 @ 2:08 PM
I am self employed but have a contract with a therapy centre which doesn't allow me to practice within an 11 mile radius.It also doesn't allow the centre to take on another therapist with the same discipline unless there are too many clients and I am not able to do more hours.They are now breaking this contract by taking on a therapist with the same discipline.I have tried to agree terms, three way to resolve this but they just dismiss it.I wonder where I stand as the other therapist will be benefitting from my established business and goodwill.I have spent 3 years building this up and have serious concerns about the therapist and how they will practise as well.This could impact on my business negatively.How do I stand legally?Could I take this to tribunal, damage to reputation and loss of earnings?
Rhufus - 21-Jan-14 @ 1:01 PM
im currently going through tupe.our finishing date is dec 31.we were told this in sept,but hasn't heard anything now for a month,from either new or old employers.the new company is over 100 miles away and don't want 2 move,is that a good enough reason 2 get redundancy monies.
jack - 30-Nov-13 @ 8:44 PM
I was tupedover 2 years ago, now the firm I used to work for have recently increased their holiday entitlement, would I then be entitled to this increase.I do receive all the relevant pay increases.
Bob - 5-Nov-12 @ 7:21 PM
we were tupeed over 4 yrs ago and the employer now wants to change our t&c s to their own which will take us out of the Working Rule Agreement and introduce Annualised Hours. Can they do this? Are we not protected by Tupe?
shawsta - 9-Jul-12 @ 9:40 PM
we are going through tupe at work at this time . i am going to be a representative and the one question every one asks me is what happens after the 90 day rule, i can find no mention any where of a change that can happen after 90 days ,the tupe rules as far as i can see don't mention time scales only after a period of time .am i correct
ian - 7-Jun-12 @ 9:31 PM
Website information has been a great help, I am just about to go through a Tupe Agreement transfer. I am currently on long term sick leave from my employment are there any extra rulings for someone in my position. Regards Neil