Guide to managing the essentials of TUPE

£ 14

Our Guide to Managing the Essentials of TUPE simplifies the complex legalities, ensuring smooth transitions and compliance for all parties involved.

If you are managing a TUPE transfer in or out, this model guide details the essentials of TUPE transfers, applying the relevant legislation.

  • When TUPE applies.
  • What employers should inform and consult about.
  • The role of trade unions and employee representatives.
  • Managing employee liability information.
  • Harmonising terms and conditions.
  • Dismissals following the transfer.
15 minute read • 1 February 2025
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managing the essentials of TUPE

Does TUPE apply?

The first step towards good practice is for employers to determine whether or not TUPE applies.

Transfer of an economic entity

TUPE applies where:

  • There is a transfer of an economic entity.
  • The economic entity retains its identity.

Is there a transfer of an economic entity?

An "economic entity" means "an organised grouping of resources which has the objective of pursuing an economic activity". The economic activity may be central to the business, or ancillary, for example cleaning services. The most obvious example of the transfer of an economic entity is where a business is sold. An economic entity may transfer even where only part of a business is sold.

Has the economic entity retained its identity?

A number of factors should be considered to determine this issue:

  • Whether or not tangible assets have transferred.
  • The type of business or undertaking.
  • The value of intangible assets at the point of transfer.
  • Whether or not the majority of employees have transferred.
  • Whether or not customers have transferred.
  • The similarity of the activities before and after the transfer.
  • The duration of a suspension in the performance of activities following the transfer.

The absence of a particular factor does not necessarily mean that the transfer does not come within TUPE. Employers should build an overall picture of what is happening to the business, by considering all of the circumstances.

An economic entity may

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What is this for?

The Guide to Managing the Essentials of TUPE provides comprehensive instructions for employers on navigating the Transfer of Undertakings (Protection of Employment) Regulations (TUPE).

It covers essential aspects such as employee rights, consultation requirements, and transfer procedures to ensure compliance and mitigate risks during business transfers, acquisitions, or outsourcing.

This guide offers practical insights and best practices to HR professionals and business owners, enabling them to effectively manage TUPE processes. By understanding the fundamental principles of TUPE and implementing the recommended strategies, organisations can streamline employee transfers, maintain morale, and foster positive relationships with both transferring and retained employees.

guide to managing the essentials of tupe

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