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If your business has recently:
- Bought or sold a business
- Won or lost a contract
- Made changes to your business structure
Then TUPE regulations will likely apply, and it’s crucial to understand its impact on both your employees and your business. Failure to address TUPE obligations can lead to costly claims and legal challenges.
Key TUPE considerations for employers:
- Employee rights and transfer protections
- Managing employee contracts and liabilities
- Redundancy procedures and consultation obligations
- Trade union consultations
- Communication and planning for smooth transitions
Understanding TUPE and taking proactive steps can protect your business during transitions. Let us guide you through the process and ensure compliance at every stage.
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FAQs
TUPE stands for the Transfer of Undertakings (Protection of Employment) Regulations 2006. It protects employees when a business or part of a business is transferred from one employer to another, ensuring that employees’ contracts and rights are preserved.
TUPE applies when a business or part of a business is transferred to a new employer, whether through the sale of a business, a contract being awarded to another provider, or a restructure within a company. This also includes the transfer of business assets like premises or goodwill.
Under TUPE, employees automatically transfer to the new employer along with their existing terms and conditions of employment. The new employer assumes responsibility for the employees’ contracts, and the rights, liabilities, and obligations attached to their employment also transfer.
Employers must inform and consult employees about the transfer, including any potential changes to their employment terms. Additionally, they must continue to uphold the employees’ rights under their existing contracts. Failure to comply with these obligations could result in claims for unfair dismissal or breach of contract.
Employees cannot be dismissed solely because of the transfer. If dismissals occur, they must be for an economic, technical, or organisational reason. Employees who are unfairly dismissed due to TUPE transfers may have grounds for claims.
Employers are required to inform and consult with affected employees or their representatives (e.g., trade unions) about the transfer, its impact on their roles, and any changes to terms or conditions. Proper consultation is crucial to avoid claims and ensure a smooth transition.
If TUPE is not adhered to, the affected employees may have grounds to bring legal claims against the employer, including claims for unfair dismissal, breach of contract, or other employment rights violations. This can lead to significant financial costs and reputational damage.
Backhouse Jones provides expert guidance to businesses navigating TUPE regulations. Our experienced team will help you understand your obligations, manage employee transfers, and ensure compliance to avoid potential legal risks and disputes.
Yes, seeking legal advice is highly recommended when handling a TUPE transfer. The process can be complex, and failure to comply with TUPE regulations can result in costly claims or legal disputes. Our team at Backhouse Jones can help ensure that your business manages the transfer smoothly and in compliance with the law.
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