Basic Guide to TUPE

This guide to TUPE is based on the laws of the United Kingdom. It was last updated in July 2006

TUPE’s objectives are for the protection of employees when a business in which they are employed changes hands. Its effects in the relocation of employees and of all liabilities associated with them from your old employer an that of the new employer.

“Transfer of Undertakings (Protection of Employment)” or simply “TUPE”; the first legislation was passed in 1981, but was rewritten in 2006. The 2006 regulation entered into force on April 6th, 2006 TUPE is significant and is often a complicated piece of legislation adopted by the United Kingdom, with a view to the application of the directive of the European Acquired Rights Directive.

Why do I need to know anything about TUPE?

TUPE applies to every day business transactions and for a huge number of different trades. The essence of learning about TUPE for the employers of all sizes is for them to understand what employment liabilities may occur in such transactions or trade. TUPE can be applied (to name but a few of many examples)

1. When employers: you sell or buy all or part of a business as profitable;

2. Award or make change “provision of services” with the participation of

(a) The initial transfer (for example, when the services from the client to an external contractor);

(b) A subsequent transfer (for example, when the services of an external contractor to various external contractor;

(c) Bringing back the internal (for example, where relocation services by an external contractor back to client);

3. To take a lease or of the premises and the same business of such applications.

Protect your business against any claims by understanding; when TUPE is likely to be applied; what TUPE means lawfully; what do I need to do to comply with TUPE and penalties for failing to do so; and to determine what your next course of actions will be in case of failing to comply.