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Government to cap non-competes and make limited changes to TUPE and Working Time Regulations
10 May 2023Non-competes will be limited to three months, rolled up holiday pay will be allowed and employers will not always have to elect representatives for TUPE transfers, according to the government’s Smarter Regulation paper released today. The government has also backtracked on the controversial sunset provision in the Retained EU Law Bill.
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What might the Brexit Freedoms Bill mean for employment law?
23 September 2022No more right to paid holiday. Goodbye TUPE. Farewell limits on working hours. This article takes a first look at the government’s Brexit Freedoms Bill and the potentially major implications for UK employment law.
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Managing your international M&A –Top Ten Questions
20 June 2022In international mergers and acquisitions (M&A) navigating the legal requirements and ramifications of the deal can be tricky. This article sets out the top ten questions that sellers and buyers need to consider in relation to employment law in global M&A transactions. We also offer some insights and tips on how to get the deal done.
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Employees’ contracts can be split so they transfer to multiple employers on a TUPE service provision change
10 March 2021In the case of a TUPE transfer when a service is outsourced or re-tendered, the Employment Appeal Tribunal has ruled that an employee’s contract can be split so they go from working full time for one employer to working part time for two or more.
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Employment contract of transferring worker can be split between transferees
09 September 2020In a transfer of an undertaking involving multiple transferees, the European Court of Justice (ECJ) has ruled that under the EU Acquired Rights Directive (ARD), the employment contract of a transferring worker can be split between each of the transferees.
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Transfer-related contractual changes void even if beneficial for employees
09 September 2020The Employment Appeal Tribunal (EAT) has ruled that the provision under TUPE which renders contractual variations void if they are made because of the transfer applies to changes that are advantageous as well as detrimental to employees. On the facts of the case, this meant that owner-directors who had made significant improvements to their own employment terms before a TUPE transfer could not enforce these against the transferee.
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Acquired Rights Directive may apply even if significant tangible assets do not transfer in asset-focused business
09 September 2020In a German case, the European Court of Justice (ECJ) has considered whether the EU Acquired Rights Directive could apply to the transfer of an asset-focused business where significant tangible assets did not transfer due to legal, technical or environmental constraints.
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Transferee not party to TUPE claim should appeal to EAT for suspension of re-engagement order
09 September 2020The Court of Session (CS) in Scotland has ruled that a transferee who had not been a party to the original Employment Tribunal (ET) claim, but had a re-engagement order made against it, could only seek the suspension of that order by appealing to the Employment Appeal Tribunal (EAT). The transferee could not apply directly to the CS to have the order suspended.
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Tribunal finds that 'workers' transfer under TUPE
28 November 2019In a surprise decision, with potentially wide-ranging ramifications, an Employment Tribunal (“ET”) has found that “workers”, as well as traditional “employees”, transfer under TUPE.
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Employee entitled to long-term disability benefits after TUPE transfer
02 October 2019The Employment Appeal Tribunal (“EAT”) concluded in a recent case that, following a TUPE transfer, an employee who was unfairly dismissed and suffered disability discrimination was entitled to compensation on the basis he would have been entitled to long-term disability benefits until death or retirement, had he not been dismissed.
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EU Acquired Rights Directive may apply to transfer of client investments to new firm
02 October 2019In a Slovenian case, the European Court of Justice (“ECJ”) has considered whether the EU Acquired Rights Directive (“ARD”) applied to a situation in which a stock market intermediary ceased operations, but gave its clients the option to transfer their financial instruments and other managed assets to another named intermediary.
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Responsibility for pay information transfers under TUPE
02 October 2019In a recent case, the Employment Appeal Tribunal (“EAT”) has ruled that the duty of an employer to keep and provide pay records under national minimum wage legislation transferred under TUPE from the transferor to the new employer.
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Can restrictive covenants survive a TUPE transfer or are they TUPE’doed?
24 April 2019“To be, or not to be: that is the question.” Many will know these to be Hamlet’s words early in the eponymous play. TUPE or not TUPE (with respect to restrictive covenants) is a thought that most buyers of a business have, but often too late in the day. What do these two have in common? Potentially tragic consequences.
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Removal of outdated contractual entitlement following transfer was not void
09 April 2019The Employment Appeal Tribunal (“EAT”) has upheld a decision that the removal of outdated contractual entitlements following a TUPE transfer was not void, as the sole or principal reason was not the transfer or a reason connected with the transfer
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Pre-transfer dismissal was by reason of transfer and automatically unfair
09 April 2019The Court of Appeal (“CA”) has upheld a decision that the dismissal of an employee immediately before a TUPE transfer was automatically unfair because the principal reason was the transfer. The CA rejected the transferee employer’s contention that the reason for the dismissal was personal to the employee’s circumstances and so unrelated to the transfer.
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High Court construes TUPE indemnity
08 April 2019The High Court (“HC”) has considered whether a TUPE indemnity for employment payments “which fall due” prior to the transfer date included sums whose payment dates had not yet crystallised.
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Fragmentation of activity may preclude service provision change
06 September 2018The Employment Appeal Tribunal (“EAT”) has confirmed that when considering whether or not there has been a TUPE service provision change (“SPC”), it is critical to identify the relevant activity. The analysis must be done in the right order and any fragmentation should be considered when considering if activities carried on by the subsequent service provider are fundamentally the same as those carried on by the outgoing service provider.
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TUPE and the transfer of public administrative functions
06 September 2018In a case about whether TUPE applied to the transfer of a public health team commissioning services, the Employment Appeal Tribunal (“EAT”) has considered points of appeal in relation to two seldom litigated provisions of TUPE.
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Five-month cessation of activities does not prevent transfer of undertaking under EU law
04 September 2018In a Spanish case, the European Court of Justice (“ECJ”) has ruled that a five-month break in activities between outsourcing contracts did not prevent the transfer of an undertaking under the 2001 EU Acquired Rights Directive (“ARD”).
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Further clarity on relevance of TUPE following a share sale
31 January 2018How relevant is TUPE in the context of a share sale? A recent decision of the Employment Appeal Tribunal (“EAT”) provides a reminder that TUPE can easily come into play when a buyer is considering what to do with its newly acquired subsidiary. In this case, the buyer’s actions led to an unexpected TUPE transfer and a £3.5 million bill.