Transfer of undertakings: Dismissal by reason of transfer is effective

Employees who are dismissed by the transferor of an undertaking, and then re-engaged by the transferee on different but agreed terms, are not entitled to retain the benefit of their previous terms of employment, holds the House of Lords in Wilson and others v St Helens Borough Council and Baxendale and Meade v British Fuels Ltd 29.10.98 House of Lords. The dismissals are not nullities even if they are due to the transfer, and the dismissed employees cannot compel the transferee to employ them.