LRD guides and handbook July 2021

Law at work 2021 - the trade union guide to employment law

Chapter 12

Contract changes unconnected to the transfer

[ch 12: page 499]

Contract changes for reasons unconnected to a TUPE transfer have always been allowed. They must be agreed just like any normal contract change (see Chapter 3):

Mr Barry’s employment was transferred to the private sector from an NHS Trust on Whitley Council terms, which included an enhanced redundancy payment. His new employer promoted him and gave him new contract terms and a pay rise. His new contract terms provided only statutory redundancy pay. When he was made redundant, his claim for an enhanced redundancy payment failed because his original contract was varied for a reason unconnected to the transfer, namely his promotion. He was no longer entitled to Whitley Council terms.

Barry v Bateman Catering [2002] UKEAT1515/00/1204

https://www.bailii.org/uk/cases/UKEAT/2002/1515_00_1204.html

In another example, Tabberer & Others v Mears [2018] UKEAT/0064/17/JOJ, construction company Mears was allowed to withdraw a contractual travel allowance from a group of workers after a transfer without infringing TUPE because the ET accepted Mears’ argument that the allowance was being withdrawn because it had become “outdated” due to “changes to working practices”. The reason for the change was unrelated to TUPE, so there was no TUPE breach.