Does TUPE Apply When There Is A Change of Contractor?Posted in : Reddy Made Contracts on 8 December 2020 Issues covered: TUPE; Contractor Change; Pay and Conditions of Employment
A transfer of undertaking can arise in a number of scenarios, including on the sale of a business, the award of a tender or simply switching service providers to a more competitive supplier.
Regardless of the situation, if there is a change in service provider, an assessment is required to determine whether TUPE (European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003 (“TUPE”) applies.
If TUPE applies, the employees of the outgoing contractor transfer to the incoming contractor, with their terms and conditions intact. The application of TUPE is likely to be a significant consideration for any potential incoming contractor.
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