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TUPE: Justifying changes to contracts

09 March 2012  

Recent rulings seem set to make it easier to carry out post-transfer harmonisation of employees’ terms, report Andrew Taggart and Francesca Lopez

Following a business transfer, the incoming employer (the transferee) will commonly want to vary the employment terms of its newly acquired employees to bring them into line with those of its existing workforce. However, reg 4(4) of the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) states that unless the outgoing employer (the transferor) is subject to insolvency proceedings, any purported variation of an employee’s contract will be void if the sole or principal reason for that variation is:

 

Additional Info

  • Case(s) Referenced:

    Carlton Care Ltd v Rooney & ors [2000] UKEAT/112/00

    Enterprise Managed Services Ltd v Dance & ors [2011] UKEAT/0200/11/DM

    Litster v Forth Dry Dock and Engineering Co Ltd [1988] UKHL 10

    Longden & anor v Ferrari Ltd & anor [1993] UKEAT/529/92/2211

    Oxford University v Humphreys [1999] EWCA Civ 3050

    Smith & ors v Trustees of Brooklands College [2011] UKEAT/0128/11/ZT

    Thomas v Ewar Stud Farms Ltd & anor [2002] All ER (D) 372

Last modified on 24 June 2015