TUPE Changes

The Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014 came into force on 31 January 2014.  

The key amendments are:

Changing the Terms of Employment

The transferee can renegotiate the terms of employment derived from a collective agreement - one year after the transfer - if the overall change to the terms is no less favourable to the employee.

Employer Liability Information

The time limit for providing Employer Liability Information to the transferee will be 28 days before the transfer. This will apply to a transfer which takes place on or after 1 May 2014. (The transferee may also wish to enquire as to whether the transferor employs any employee shareholders.)

Collective Consultation

An employer with 10 or fewer employees can directly inform and consult the affected employees where there is no recognised independent union or any existing appropriate representatives. This will apply to a transfer which takes place on or after 31 July 2014.

Consultation which begins before the transfer can count for the purpose of complying with collective redundancy laws - provided that the transferor and transferee can agree - and the transferee has carried out meaningful consultation.

Department for Business, Innovation & Skills has updated its TUPE guide and issued a press release in response to the amendments.