The Transfer of Undertakings (Protection of Employment) Regulations (TUPE) provide employment protection for employees when a business changes hands.
Not all transfers of ownership fall within the definition set out in the regulations but when TUPE applies, employees’ jobs transfer to the new business unless those employees are redundant, along with their terms and conditions and their service.
TUPE also applies to service provision changes, which occur when a service is outsourced, there is a change-over in contractors, or a service is brought back in house.
Before a transfer occurs, employers must inform the employees involved or their representatives when the transfer will happen and how this will affect them and consult with them over anything to do with the transfer that will affect them, such as a reorganisation.
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Please note: While every care has been taken in compiling this content, CIPD cannot be held responsible for any errors or omissions. These notes are not intended to be a substitute for specific legal advice.
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