LRD guides and handbook September 2013

Contracts of employment - a guide to using the law for union reps

Chapter 8

What contract changes are permitted by TUPE?

Changes for a reason unconnected to the transfer

Contractual variations that are unconnected to the transfer are allowed under TUPE, although they must be agreed following the normal rules (see Chapter 7). For example, in Barry v Bateman Catering [2002] UKEAT1515/00/1204, the claimant, a catering manager, had his contract outsourced to a private sector caterer. The transfer was protected by TUPE and under Whitley Council terms, he qualified for an enhanced redundancy payment. He later accepted promotion to a management role, with new contract terms. The new contract gave him better holidays and sick pay, but only statutory redundancy. When he was made redundant, his claim for an enhanced redundancy payment failed because his original contract was changed for a reason unconnected to the transfer — his promotion.