Consultation planned on proposals to amend TUPE

The Government has said that it will consult on its proposals for amendments to the Transfer of Undertakings (Protection of Employment) Regulations 2006 (SI 2006/246). Its main aim is to reduce unnecessary burdens on business to encourage flexibility in the labour market, while protecting fairness to employees. 

The planned consultation follows the Government's call for evidence in November 2011 on the effectiveness of TUPE. In its response to the call for evidence, the Government said that there are several areas that should be further examined with a view to improving the practical operation of TUPE, whether by amendments to TUPE or through improved guidance. 

The points the Government will consult on include:

• whether the service provision changes under TUPE should be retained or repealed;
• whether or not employee liability information should be provided earlier to the transferee (under TUPE this information need only be provided 14 days before a transfer);
• whether liability should pass entirely to the transferee as it does under TUPE or be held jointly and severally by the transferee and transferor; and
• whether or not an amendment to TUPE would be possible to ensure that a change of location of the workplace following a transfer does not necessarily lead to automatic unfair dismissal, ie it is capable of constituting an economic, technical or organisational reason entailing changes in the workforce. 

However, the Government has acknowledged that possible amendments to TUPE are limited by the requirements of the Acquired Rights Directive (2001/23/EC). 

In his autumn statement, delivered on 5 December 2012, the Chancellor of the Exchequer, George Osborne, said that the Government will launch the consultation shortly. 

• Call for evidence: Effectiveness of Transfer of Undertakings (Protection of Employment) Regulations 2006 (PDF format, 191K) Read the call for evidence paper on the Department for Business, Innovation and Skills (BIS) website. 
• Effectiveness of Transfer of Undertakings (Protection of Employment) Regulations 2006: Government response to call for evidence (PDF format, 215K) Read the response paper on the BIS website. 

Also 

XpertHR legal timetable and HR calendar Keep up to date with new legislation, consultations and HR developments in 2013 with XpertHR's legal timetable and HR calendar. 

The XpertHR FAQs section answers the following employers' questions on TUPE:

• What is a TUPE transfer?
• What is a service provision change under the TUPE Regulations 2006?
• Where employees are dismissed as a result of a TUPE transfer, will the dismissals be unfair?
• What is an "economic, technical or organisational reason" for dismissal under the TUPE Regulations 2006?

The XpertHR policies and documents section provides a model Letter informing employee representatives about a transfer that is to take place and a model Letter from transferor to notify transferee of employee liability information. 

Line manager briefing on handling TUPE transfers The XpertHR line manager briefing section provides guidance for line managers on how they can help their employer comply with its duties under TUPE and manage the transfer in conjunction with the HR and legal departments.