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Transfer of undertakings: ETO reason required for variation of contract on transfer

This report relates to 1 case(s)

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    Wilson and others v St Helens Borough Council; Meade and Baxendale v British Fuels Ltd [1997] IRLR 505 CA (0 other reports)

In (1) Wilson and others v St Helens Borough Council (2) Meade and another v British Fuels Ltd 10.7.97 Court of Appeal, the Court of Appeal considers the position under the Transfer of Undertakings Regulations where employees' contracts of employment are terminated on a relevant transfer and they accept employment with the transferee on less favourable terms and conditions. The Court holds that a termination in such circumstances is effective in law if it is for an "economic, technical or organisational reason entailing changes in the workforce", in which case the employee is employed on the new terms and conditions agreed with the transferee.