What does TUPE mean?
TUPE means the Transfer of Undertakings (Protection of Employment) Regulations 2006.
TUPE’s purpose is to protect the jobs of workers who do or should move across if the job they are doing is transferred to a different employer as:
- part of a sale or merger of a continuing business; or
- part of service that is continuing, for the same client (for example, an outsourced cleaning service).
I have been told that TUPE does not apply.
TUPE applies automatically.
It cannot be avoided but its consequences may be limited by a settlement agreement made between the affected worker and the employers.
Companies can also agree between themselves who should cover the costs of TUPE.
Can the new employer change my employment contract?
In short: possibly, but only if:
- it has a special reason for this (known as an ETO reason); or
- the change has nothing to do with the transfer; or
- (possibly) the change is allowed under your employment contract; or
- the change is to improve part of your employment contract; or
- the change relates to an occupational pension scheme (special rules apply).
What should I do if I have a question or concern about TUPE?
TUPE’s purpose is clear – to protect jobs.
TUPE’s rules are less clear, and I recommend you take specialist advice if you have any questions after speaking to the employers involved.
This blog was written by Ben Lindsay, Solicitor at didlaw.