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Chapter

Cover Smith & Wood's Employment Law

8. Redundancy, reorganization, and transfers of undertakings  

This chapter discusses issues concerning an employer facing hard times or stiff competition, which may need to sell or contract out part of its operation, dismiss some employees, or change the terms and conditions of work. It tackles these situations together both for the practical benefit of grouping issues that arise from similar factual settings and for the analytical coherence of dealing together with protections designed to balance worker interests in job security with the general economic interest in lean, efficient, and flexible enterprise. The statutory definition of ‘redundancy’ is examined and is contrasted with termination of employment, or change in terms of employment, for other economic reasons. The chapter then deals with statutory redundancy payments and collective consultation on collective dismissals (whether for redundancy or other reasons). The discussion then focuses on distinctions in how tribunals assess the fairness of redundancy dismissals as opposed to other dismissals caused by reorganization which are categorized as being for ‘some other substantial reason’. Finally, the chapter addresses the law governing the transfer of undertakings, or ‘TUPE’, covering the transfer to the new employer of individual and collective relationships, the protection of existing terms and conditions, and the legality of transfer-related dismissals and transfer-related changes to the employment contract.

Chapter

Cover Smith & Wood's Employment Law

8. Redundancy, reorganization, and transfers of undertakings  

Ian Smith, Owen Warnock, and Gemma Mitchell

This chapter discusses issues which arise when an employer faces hard times or stiff competition. The employer may need to sell or contract out part of its operation, dismiss some employees, or change the terms and conditions of work. The statutory definition of ‘redundancy’ is examined and is contrasted with termination of employment, or change in terms of employment, for other economic reasons. The chapter then deals with statutory redundancy payments and collective consultation on collective dismissals (whether for redundancy or other reasons). The discussion then focuses on how tribunals assess the fairness of redundancy dismissals and on the different approach taken as to the fairness of dismissals caused by reorganization which are categorized as being for ‘some other substantial reason’. Finally, the chapter addresses ‘TUPE’, which is the law governing the transfer of undertakings and situation where a service provider loses or gains a contract. The issues relate to the transfer to the new employer of individual and collective relationships, the protection of existing terms and conditions, and the legality of transfer-related dismissals and transfer-related changes to the employment contract.

Chapter

Cover Concentrate Questions and Answers Employment Law

5. Continuity of employment  

The Q&A series offer the best preparation for tackling exam questions. Each book includes typical questions, bullet-pointed answer plans and suggested answers, author commentary, and illustrative diagrams and flowcharts. This chapter presents sample exam questions about continuity of employment. Through a mixture of problem questions and essays, students are guided through some of the key issues on the topic of continuity of employment including the qualifying periods of employment for important statutory rights, determining the start and end dates of employment, the effect of absences on employment continuity, and TUPE transfers. Students are also introduced to the current key debates in the area and provided with suggestions for additional reading for those who want to take things further.

Chapter

Cover Selwyn's Law of Employment

9. Transfer of Undertakings  

This chapter considers the transfer of undertakings. It looks at the background and at the legislation, including the Transfer of Undertakings (Protection of Employment) Regulations 2006 and the Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014. It discusses what counts as a transfer of a business or undertaking, considering service provision changes and transfers within the public administration. Also covered are the mechanics and effects of the transfer, including statutory rights and the effect on the contract of employment; dismissal on transfers and ETO reasons (economic, organisational or technological reason); refusing a transfer; employee liability information; and remedy for failure to notify employee liability information. It also looks at the effect of transfers on collective agreements and insolvency rights.

Chapter

Cover Employment Law Concentrate

11. Continuity of employment and TUPE  

Each Concentrate revision guide is packed with essential information, key cases, revision tips, exam Q&As, and more. Concentrates show you what to expect in a law exam, what examiners are looking for, and how to achieve extra marks. This chapter discusses continuous employment and the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE). An employee’s period of continuous employment begins on the day on which the employee starts work. Although continuity provisions normally apply to employment by one employer, there are situations where a transfer from one employer to another can preserve continuity of employment. One such situation is when there is a relevant transfer under TUPE. TUPE acts to ensure that an individual’s contract of employment is transferred in its entirety when the individual employee experiences a change of employer as a result of a transfer.

Chapter

Cover Employment Law

23. TUPE  

The Transfer of Undertakings Protection of Employment (TUPE) Regulations aim to protect the interests of employees when the business they work for changes hands, or when their part of an operation is acquired or transferred to another business. They also apply in merger situations, when in-house processes are outsourced, when a contract to provide a service transfers from one provider to another, and when a public sector body such as a local authority ‘contracts out’ services, or indeed, brings formerly contracted out services back in house. They form a specialised corner of employment law, but one which can be very important for large numbers of people. This chapter discusses core TUPE rights, when TUPE applies, consultation requirements, contractual rights, unfair dismissal rights, sharing of information between transferors and transferees, and TUPE Regulations in respect of the takeover of insolvent businesses.