Transfers on or after 31 January 2014

Under Regulation 4(5B) of new TUPE, any contract term incorporated from a collective agreement will not be protected by TUPE from variation, as long as:

• any variation takes effect more than one year after transfer; and

• “the rights and obligations in the employee’s contract, when considered together, are no less favourable to the employee than those which applied immediately before the variation”.

Note that:

• any change must be “no less favourable overall”;

• this does not mean a power to vary unilaterally — any variation must be by agreement;

• any change can only take effect one year after the transfer date — although it can be negotiated at any time before this date.