TUPE applies in circumstances where an economic entity is transferred from one business to another, i.e. the entity is sold as a going concern and retains its identity after the transfer – this is described as a business transfer.
It also applies when a client engages a contractor to do work on its behalf or reassigns such a contract, including bringing the work in house – this is described as a service provision change.
Whether there is a business transfer or a change of service provision you need to know your duties as an employer whether you are the transferor or transferee.
If you think you may become involved in a transfer situation to which TUPE applies, ask us for legal advice, as the legislation in this area can be complex.
