There are a number of situations when employers are required to inform their workforce about a proposed action and consult with them on that action as well.
Whether you are purchasing a business, selling or restructuring your business, or even out-sourcing or in-sourcing a business function; your obligations under the law on Transfer of Undertakings (Protection of Employment) Regulations 2006, commonly known as TUPE, are notoriously complex. There are also serious financial consequences for failing to comply as well as reputational damage which can result from Employment Tribunal claims.
You are obliged to “inform and consult with” employees when a transfer is due to take place and although there are no fixed time limits, the regulations require that the employer of any affected employees ("affected" could mean more than simply those transferring) needs to inform and consult long enough before the relevant transfer to enable the employer to mount a meaningful consultation.
Even if your organisation is divesting itself of employees under TUPE you will still be jointly and severally liable for any claim which means that a disgruntled employee can still take you, as their ex-employer, to a Tribunal if they so wish.
Our team of specialist employment lawyers regularly advise clients on their obligations under TUPE and also defend claims in the Employment Tribunal.
For more information please contact Richard Fox at rfox@kingsleynapley.co.uk.
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