If you’ve ever experienced a change in your employer, such as through a transfer of business or a merger, you might have heard the term “TUPE.” Short for the Transfer of Undertakings (Protection of Employment) Regulations, TUPE is a UK law designed to protect employees’ rights when their employer changes due to a business transfer. In this blog post, we’ll break down what TUPE is, how it works, and what it means for you as an employee.
What is TUPE?
TUPE stands for the Transfer of Undertakings (Protection of Employment) Regulations 2006. It is legislation that safeguards employees' terms and conditions when a business or part of a business is transferred from one employer to another. The aim is to ensure that employees are not disadvantaged by the change in ownership and that their rights are preserved.
When does TUPE apply?
TUPE applies in various situations, including:
- Business transfers: When an organisation, or part of an organisation, is sold or transferred to a new owner.
- Service provision changes: Such as when a contract for services is transferred to a new contractor (e.g., cleaning or catering services).
For TUPE to apply, the transfer must involve an economic entity that retains its identity, meaning it should be a distinct organisation or part of a organisation capable of operating independently.
What does TUPE protect?
TUPE offers several key protections for employees:
- Employment continuity: Employees who are transferred under TUPE continue to be employed under the same terms and conditions as before. Their length of service and other entitlements are preserved.
- Terms and conditions: The new employer must honour the existing terms and conditions of employment. This includes pay, holiday entitlement, and benefits.
- Collective agreements: Any existing collective agreements with trade unions or employee representatives remain in place following the transfer. However, the new employer can renegotiate these agreements after the transfer.
- Protection from dismissal: Employees cannot be dismissed solely because of the transfer. Any dismissal that occurs in connection with the transfer must be for an economic, technical, or organisational reason that entails changes in the workforce.
What should you expect during a TUPE transfer?
If you’re affected by a TUPE transfer, there are several steps you should be aware of:
- Consultation: The current employer (the transferor) and the new employer (the transferee) must consult with employees or their representatives about the transfer. This consultation should cover the reasons for the transfer, its implications for employees, and any measures that will be taken.
- Information sharing: Both the transferor and transferee are required to share information about the employees who are being transferred. This includes details about their employment contracts and any potential changes to terms and conditions.
- Employee rights: Employees should receive written information about their transfer, including how their terms and conditions will be protected and who to contact with questions or concerns.
What to do if you have concerns
If you’re concerned about a TUPE transfer, consider the following steps:
- Seek information: Request information from your employer or employee representatives about how the transfer will affect you. Understanding your rights and the process can help you prepare.
- Consult us: If you’re a UWU member, contact us for advice and support. We can help you understand your rights under TUPE and ensure that the transfer is handled correctly.
- Raise concerns: If you have specific concerns about the transfer, raise them with your employer or during the consultation process. Employers are required to address reasonable concerns related to the transfer.
- Legal advice: In some cases, it may be beneficial to seek legal advice, especially if you believe your rights under TUPE are not being respected. THe UWU has access to a panel of employment solicitors who provide advice as required.
Key points
TUPE is an important piece of legislation that protects employees during business transfers and service provision changes. By understanding your rights and the TUPE process, you can better navigate these transitions and ensure that your employment terms and conditions are upheld. If you’re facing a TUPE transfer, don’t hesitate to seek advice from the UWU to safeguard your interests and address any concerns you may have.