TUPE Requirements

Author
Discussion

Mr Classic

Original Poster:

224 posts

120 months

Friday 1st July 2016
quotequote all
Been informed that a large contract at work has not been won and the the company that paid us to do it before hand are now going to do the job in house. My company believes this falls under TUPE and the employees (around 70) who's only role was to do this work should be taken on by the other company. This company does not agree with that and believes it does not fall under TUPE. Do you guys think that the company is required to take on our employees or not?

Johnnytheboy

24,498 posts

187 months

Friday 1st July 2016
quotequote all
Don't quote me on it but I'm fairly certain that it does.


2 sMoKiN bArReLs

30,261 posts

236 months

Friday 1st July 2016
quotequote all
Hard to say from 3 lines of details, but as said certainly sounds like it.

2 sMoKiN bArReLs

30,261 posts

236 months

Friday 1st July 2016
quotequote all
Somebody needs to ask new employer why they think it doesn't.

rgw2012

598 posts

144 months

Friday 1st July 2016
quotequote all
Sounds like it applies to me from what you say. If the service is transferred to A N Other service provider (even in-house) then TUPE applies. If the incumbent supplier gets acquired by another party who then runs the service then TUPE doesn't apply. As it's just a change of contracted supplier that you seem to be describing I would be interested to hear why they are claiming it doesn't apply. Suspect they are running scared of the cost liability of an additional 70 employees!

Johnnytheboy

24,498 posts

187 months

Friday 1st July 2016
quotequote all
My HR officer OH says the new company should take them on under TUPE.

Beetnik

512 posts

185 months

Friday 1st July 2016
quotequote all
rgw2012 said:
Suspect they are running scared of the cost liability of an additional 70 employees!
Suspect so too but what's the cost of 70 tribunal claims against them!?

Doofus

25,834 posts

174 months

Friday 1st July 2016
quotequote all
Sorry, what? You work for a company that used to provide a service to another company. That other company has now decided they don't want your company to do it any more.

Is that right? If so, there can't possibly be any employment (or TUPE) requirements on the 'other' company. What am I missing?

2 sMoKiN bArReLs

30,261 posts

236 months

Friday 1st July 2016
quotequote all
Doofus said:
What am I missing?
The facts about TUPE legislation hehe



Jockman

17,917 posts

161 months

Friday 1st July 2016
quotequote all
2 sMoKiN bArReLs said:
Doofus said:
What am I missing?
The facts about TUPE legislation hehe
Add me to that list. Unless I'm misreading the original post I cannot see TUPE here.

Johnnytheboy

24,498 posts

187 months

Friday 1st July 2016
quotequote all
Page 7 (going by the printed page numbers) of the first pdf link (handling TUPE transfers) on this page:

http://www.acas.org.uk/index.aspx?articleid=1655

TUPE specifically does apply to "insourcing" of contracts.

Mr Classic

Original Poster:

224 posts

120 months

Saturday 2nd July 2016
quotequote all
Many thanks, especially johnnytheboy, feel a bit safer knowing that they are required to make proper arrangements for us when the contract ends.

Johnnytheboy

24,498 posts

187 months

Saturday 2nd July 2016
quotequote all
Mr Classic said:
Many thanks, especially johnnytheboy, feel a bit safer knowing that they are required to make proper arrangements for us when the contract ends.
Sometimes the hours of listening to the mind-numbingly dull post-work anecdotes of my OH actually impacts on my brain. smile

The ACAS website is a very good resource for this kind of thing, as a rule.

Doofus

25,834 posts

174 months

Saturday 2nd July 2016
quotequote all
2 sMoKiN bArReLs said:
The facts about TUPE legislation hehe
From the information given by the OP, TUPE is completely irrelevant.

2 sMoKiN bArReLs

30,261 posts

236 months

Saturday 2nd July 2016
quotequote all
Doofus said:
2 sMoKiN bArReLs said:
The facts about TUPE legislation hehe
From the information given by the OP, TUPE is completely irrelevant.
Fair enough. I thought I knew a bit (and only a bit) about TUPE (I've been the buyer & the seller a few times) but I'm happy to bow to more knowledgeable folk. Why does it not apply?

2 sMoKiN bArReLs

30,261 posts

236 months

Saturday 2nd July 2016
quotequote all
Just based on my experience.

We had the contract to warehouse & distribute motorcycles for a Japanese brand in the UK. Some of our employees worked solely on this contract. At the end of the term the contract went out to tender & we lost it. All the employees TUPEd across to the successful bidder. Must be a similar scenario?

rgw2012

598 posts

144 months

Saturday 2nd July 2016
quotequote all
Doofus said:
2 sMoKiN bArReLs said:
The facts about TUPE legislation hehe
From the information given by the OP, TUPE is completely irrelevant.
Er no, the service is transferring back in house - TUPE 100% applies. Why do think what he has said makes it irrelevant?

Doofus

25,834 posts

174 months

Saturday 2nd July 2016
quotequote all
rgw2012 said:
Er no, the service is transferring back in house - TUPE 100% applies. Why do think what he has said makes it irrelevant?
We don't know what the service is, nor the contract under which is is provided.

If I pay an IT company to look after my networks, and then later decide to do it myseof, I am under no obligation whatsoever to employ their staff to do it for me.

2 sMoKiN bArReLs

30,261 posts

236 months

Saturday 2nd July 2016
quotequote all
Doofus said:
rgw2012 said:
Er no, the service is transferring back in house - TUPE 100% applies. Why do think what he has said makes it irrelevant?
We don't know what the service is, nor the contract under which is is provided.

If I pay an IT company to look after my networks, and then later decide to do it myseof, I am under no obligation whatsoever to employ their staff to do it for me.
If that's your logic for the OP's question then you are way off beam old fella. I revert to my comment that you don't understand TUPE biggrin

2 sMoKiN bArReLs

30,261 posts

236 months

Saturday 2nd July 2016
quotequote all
Legal experts on the net say (by way of example):

Increasingly, Registered Providers of social housing are bringing their outsourced services back in-house. This can be due to poor service, lack of efficiency from the contractor, or perhaps just a view that the service can be better stream-lined when managed and resourced internally.

When insourcing services, Registered Providers must be aware of TUPE and its implications. TUPE could automatically transfer the contractors’ employees to the Registered Provider, and brings with it legal and contractual consequences.

Below we set out the considerations for Registered Providers when insourcing. We outline when TUPE applies and look at how Registered Providers can anticipate the potential legal risks.

Does TUPE apply?

The Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) governs the rights of employees and the obligations of employers when a business or service transfers from one entity to another.

TUPE applies where there is a change in relationship between a client and their contractors. This is known as a service provision change and includes where a service is contracted in or insourced.

Assuming that the conditions for a service provision change are met, TUPE will apply to an insourcing. To ensure that they are not exposed to unacceptable risk, Registered Providers will need to keep the resulting legal and contractual issues on their radar.