18 July 2013

TUPE and Collective Agreements

The ECJ has ruled that a private-sector transferee is not legally obliged to comply with a change (e.g. a pay increase) made to the terms of employees transferred from the public sector – if the change was agreed by a public-sector negotiating body - after the TUPE transfer had taken place – and it was not possible for the transferee to participate in the negotiations.

Source: Alemo-Herron v Parkwood Leisure Ltd (C-426/11).

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1 comment:

Tony Trotman said...

On 5 September 2013, the Government stated that it would amend TUPE:

1. To allow renegotiation of terms derived from collective agreements one year after the transfer, even though the reason for seeking to change them is the transfer, provided that overall the change is no less favourable to the employee.

2. To provide expressly for a static approach to the transfer of terms derived from collective agreements.

It is the Government’s intention that new Regulations will be laid before Parliament in December 2013.

Source: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/236932/bis-13-1023-transfer-of-undertakings-protection-of-employment-regulations-2006-government-response-to-consultation.pdf