A TUPE transfer occurs when all or part of your business, service or undertaking moves to another employer.

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TUPE protects employees’ rights regardless of the size of the organisation.

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TUPE applies when:

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• a business or part of it is sold,

• services are outsourced,

• service providers change,

• activities move to another organisation.

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1. Duty to inform and consult

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Employers must:

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• inform employees about the transfer,

• consult with them about any proposed changes (e.g., location, hours, structure).

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Consultation may take place:

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• directly with employees,

• through trade unions,

• through elected employee representatives.

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2. When must employees be informed?

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There is no fixed statutory timescale, but information must be provided long enough before the transfer to allow meaningful consultation.

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The appropriate timeframe depends on:

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• the size of the organisation,

• the number of employees affected,

• the complexity of the proposed changes.

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3. Consequences of failing to consult

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If an employer fails to inform or consult properly, employees may bring a claim and receive up to 13 weeks’ pay as compensation.

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Liability may fall on:

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• the outgoing employer,

• the incoming employer,

• or both (shared liability).

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4. What happens to employment contracts?

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At the point of transfer:

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• employees’ contracts automatically transfer to the new employer,

• terms and conditions remain the same,

• employment does not end,

• the new employer assumes all rights and obligations.

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Employees do not need to sign a new contract for the transfer to take effect.

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5. Employee Liability Information

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The outgoing employer must provide the incoming employer with Employee Liability Information at least 28 days before the transfer, including:

 

• employee details,

• terms and conditions,

• disciplinary records,

• grievances,

• claims.

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6. Can an employee refuse the transfer?

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Yes — an employee may refuse to transfer.

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However:

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• their employment ends on the transfer date,

• they usually cannot claim redundancy pay,

• it is not treated as a dismissal.

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7. How I help employers

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• advising whether TUPE applies,

• preparing information and consultation documents,

• supporting discussions with employees and representatives,

• assisting with Employee Liability Information,

• representing employers in TUPE‑related disputes.