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Employment laws applying to business transfers can be complicated.

When a business, also known as an ‘undertaking’, is transferred from one owner to another, the Transfer of Undertakings (Protection of Employment) Regulations (TUPE) protect employees’ terms and conditions of employment.

Employees who worked for the previous business owner automatically become employees of the new owner.  They are employed on identical terms and their original employment contracts are treated as though they had been agreed with the new employer.

As a new employer, you need specialist legal advice to ensure that any changes you intend to make to the business structure or your employees working practices, do not leave you liable for breach of contract and/or unfair dismissal.

Although TUPE applies regardless of the size of the transferred business, there are a number of transfers which are not covered by TUPE including

  • Transfers by share take-over
  • Transfers of assets only
  • Transfers of a contract to provide goods or services, not involving the transfer of all or part of the business
  • Transfers of businesses outside the UK.

At Mander Hadley, our team of friendly and knowledgeable employment law experts are able to guide you through any legal issues arising as a result of TUPE.

Contact us now and let us take care of your employment law issues. You are in safe hands at Mander Hadley.

For more information please consult our Business Transfers Experts: