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Checklist: TUPE transfers

8.04.2013

What is TUPE?

TUPE is an acronym for the Transfer of Undertakings (Protection of Employment) Regulations 2006. Where TUPE applies, employees automatically transfer from one employer to another with their terms of employment and continuity of service intact.

When does TUPE apply?

TUPE applies to a “relevant transfer”. A relevant transfer can be where:

Which rights are automatically transferred under TUPE?

Changing terms of employment

Any changes to an employee’s terms of employment are void if the main reason for the change is either:

However, it is possible to make changes to transferring employees’ employment terms if the reason for the change is unconnected with the transfer or is connected with the transfer but is for an ETO reason.

Protection against dismissal

Obligations to inform and consult

Employee liability information

The transferring employer must provide information (for example, the disciplinary and grievance records of the transferring employees) to the new employer not less than 14 days before the transfer takes place.  
If the transferring employer fails to comply with this duty, the new employer can apply for compensation based on the losses suffered, with a minimum award of £500 for each employee that the information was not provided for.

Insolvent businesses

To help the rescue of failing businesses, some key TUPE employment protections are relaxed if the transferring employer is insolvent.  The extent of these modifications depends on the type of insolvency proceedings the transferring employer is involved in.

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