The Transfer of Undertakings
This means is that the new employer will take on the employees on their existing terms and conditions.
TUPE
In essence, the Transfer of Undertakings Protection of Employment 1981 "TUPE" provides that where an undertaking is transferred from one business to another, all of the employees formally employed by the first company are automatically transferred along with that undertaking. What this means is that the new employer will take on the employees on their existing terms and conditions. Failure by the new employer to honour the terms and conditions can result in claims being made by the employees against the new employer.
In addition, TUPE provides obligations on the party transferring the employees and the party receiving the employees. Failure to comply with these obligations can result in claims being made by each employee of up to 13 weeks' salary.
We provide assistance and advice in relation to the transfer of businesses in order to prevent any potential claims occurring.
If balancing the demands of the economy and employment law is giving you a headache please call Ben Stanton on 01908 660966, email ben.stanton@franklins-sols.co.uk or fill out our online contact form. Our dedicated Employment team can help.
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