Acas guidance on TUPE changes
10 February 2014
A new set of requirements affecting business transfers and outsourcing came into force on 31 January. Acas has produced guidance on the changes to the law.
On 31 January 2014, new regulations on TUPE came into effect updating the 2006 regulations. Acas has produced a leaflet to help employers better understand what the changes mean and how they may affect their business. Acas are calling this a leaflet but it contains 20 pages of guidance. Acas will also be producing a full guide on TUPE and how to manage the process effectively which will become available in the coming months.
The TUPE regulations ensure:
- that when a business transfer occurs, employees moving across to the new employer (known as the incoming employer) bring with them their length of service and terms and conditions, and
- that there is a structure for the transfer process.
The TUPE regulations usually apply when:
- a business or part of one is sold to the incoming employer, or
- two or more companies cease to exist and combine to form a new company
- activities are outsourced to a contractor or brought back in house.
TUPE applies regardless of the size of the organisation, although there are minor differences concerning how smaller employers with less than 10 employees are required to consult.
Generally speaking, the TUPE regulations apply to employees whose work moves over to the incoming employer. However, there are very specific rules around this which are covered in more detail in the guidance.