Less is More

23 Jan

The amended TUPE Regulations are due to come into force at the end of January 2014. One important change is the ability to run collective redundancy consultation alongside TUPE consultation prior to the transfer. S 198A has been inserted into TULCRA to permit this. Note there needs to be agreement between both transferor and transferee for this to happen.

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Less Is More

 

The amended TUPE Regulations are due to come into force at the end of January 2014. One important change is the ability to run collective redundancy consultation alongside TUPE consultation prior to the transfer. S 198A has been inserted into TULCRA to permit this. Note there needs to be agreement between both transferor and transferee for this to happen. More detail can be found in the new TUPE Guidance document at pages 28 - 31:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/271528/bis-14-502-employment-rights-on-the-transfer-of-an-undertaking.pdf


What the Guidance makes clear at pages 25 - 26 is that the rule in Hynd v Armstrong [2007] CSIH 16 at paragraph 45 has not been reversed. This means that the transferor is still unable to dismiss prior to the transfer for an ETO reason relating to the conduct of the transferee’s business after the transfer. In simple terms no redundancies connected to the transfer can be lawfully made prior to the transfer by the transferor.

This change allows pre-transfer consultation where the likely number of job losses is 20 or more but not where there are only likely to be fewer. The thinking behind this measure was to speed up post transfer dismissals by allowing consultation to take place pre-transfer. What is perhaps more difficult to understand is why making more people redundant is likely to be quicker than just a few but that appears to be one of unintended consequences of these changes.

From the beginning of February 2014 TUPE is changing. 12CPBarristers can provide you with the assistance you need to guide you through the challenges the new TUPE Regulations may present.

Peter D

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