Employment Matters Relating to Business Transfers & TUPE

Under the Transfer of Undertakings (Protection of Employment) Regulations (TUPE), when all or part of a business is bought or sold, the terms and conditions of the employees must remain unchanged.

This means that, in most cases, the new employer cannot change the employees' terms and conditions.

In relation to business transfers, TUPE applies to:

• Mergers
• Sales of a businesses by sale of assets
• A change of licensee or franchisee
• The gift of a business by Will

However, TUPE does not apply to:

• Transfers by share take-over
• Transfers of assets only
• Transfers of a contract to provide goods or services where this does not involve the transfer of a business or part of a business

Where TUPE applies, all terms and conditions of work and continuity of employment must be preserved. This will include employees who were employed in the transferred business and those who would have been employed if they had not been unfairly dismissed for a reason connected with the transfer.

Call Business Lawyers Direct today on 0845 371 0701 or contact us via our online enquiry form and one of our senior solicitors will be pleased to discuss your requirements.