9. Transfers and service provision changes (TUPE)

The Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) protect employees if their employer changes hands. It applies when services are outsourced (and insourced) as well as when a business is sold.

TUPE is intended to safeguard the jobs and rights of employees when the identity of their employer changes as a result of a transfer. It operates automatically so that the new employer automatically takes on transferring employees and must honour their existing contractual terms and conditions, with the exception of pensions.