TUPE – Questions and Answers

Do I become a “new employee” when I transfer?

No, your length of service and all terms and conditions (pay, holiday, role) transfer to the new employer.

Can the new employer change my terms and conditions?

While generally no, changes directly due to the transfer are prohibited. However, the new Employer, for Economic, Technical and Organisational reasons [ETO] can decide to carry on the business with fewer employees which may lead to transferred employee’s redundancy. The Transferee must act fairly though.

Can I be made redundant?

While you cannot be dismissed because of the transfer, you can be made redundant if there is a genuine economic, technical, or organisational (ETO) reason for a workforce change.

Can I be made redundant by reason of the Transfer?

No, but you might be made redundant for ETO reasons referred to above.

What happens if I refuse to transfer?

If you object, your employment ends, and you will not be entitled to a redundancy payment or notice pay. You will be deemed to have resigned your position.

Are pension rights protected?

Pension rights do not transfer.

What if the company goes into insolvency?

If the business is in official insolvency proceedings, certain TUPE rules are relaxed to help save the business, often allowing for easier changes to terms and conditions.

What is the consultation process?

Employers must inform and consult with employees or their representatives 30 days prior to the Transfer and in “good time” covering the date, reasons, and any, including any measures to be taken.

What if the new employer does not follow the rules?

An employment tribunal can award up to 13 weeks’ gross pay for each affected employee for failure to inform and consult.

Disclaimer: TUPE regulations can be complex, and this information is based on general principles and not specific advice.