UK amends TUPE regulations
By Tim Wright and Amina Adam
The Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) has been in the spotlight as part of the UK government’s employment law review. TUPE implements the EU Acquired Rights Directive (ARD) in the UK.
Where TUPE applies, there is an automatic transfer of the employee’s employment — for the affected employees it is as if their employment contracts had originally been made with the new employer, with their continuity of service and, subject to a few exceptions, other employment rights all preserved.
TUPE is complex and is viewed by many as overly bureaucratic, leaving little room for new employers to make post-transfer changes to an employee’s contract or to dismiss them fairly. It protects employees’ terms and conditions of employment when a business is transferred from one owner to another or in an outsourcing context, where there is a service provision change (SPC). An SPC will usually occur where there is a change of service provider or a contracting in or out of services…
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