The outgoing employer must give written Employee Liability Information (ELI) at least 28 days before transfer, including contracts, claims, and disciplinary records. Failure to do so can result in fines of up to £500 per employee.

Both outgoing and incoming employers risk tribunal claims and can be ordered to pay a protective award of up to 13 weeks’ gross pay per affected employee.

Dismissals where the sole or main reason is the transfer are automatically unfair. Only dismissals for a genuine ETO reason, carried out with a fair process, may be lawful.

TUPE (Transfer of Undertakings (Protection of Employment) Regulations) applies when a business, service, or contract is transferred to a new employer. It ensures employees’ jobs, terms, and rights are protected during the transfer.

No. Employees automatically transfer to the new employer with their existing rights and contracts. If they object, they can refuse to transfer, but this is treated as a resignation without redundancy pay.

Generally no, unless there is a valid economic, technical, or organisational (ETO) reason and the employee agrees. Changes purely because of the transfer are likely to be void and unenforceable.