Anybody involved in outsourcing will be familiar with (and probably suffered various headaches) dealing with the transfer of employees due to the application of the TUPE Regulations. Based on feedback from industry, the Government has recently consulted on proposals to amend the TUPE Regulations which will cover the following issues:
- Whether TUPE should still apply to service provision changes;
- Removing the transferor’s obligation to provide employee liability information;
- Giving employers more scope to change terms and conditions after the transfer, including changing the workforce location;
- Enabling the transferee to consult on collective redundancies before the transfer.
The consultation closed on 11 April 2013, and if the proposed changes go ahead, the Government intends to introduce them in October 2013 (except possibly for any changes relating to service provision changes).
These proposals will have a significant impact on outsourcing relationships, if implemented e.g. the removal of service provision changes from TUPE will affect companies which outsource services or which provide outsourcing services.
DWF has been working with the National Outsourcing Association to evaluate its members' views on the proposals and to present their views to the Department of Business, Innovation and Skills as part of the Government’s consultation process and we will keep you updated with any developments which arise from the consultation process.This information is intended as a general discussion surrounding the topics covered and is for guidance purposes only. It does not constitute legal advice and should not be regarded as a substitute for taking legal advice. DWF is not responsible for any activity undertaken based on this information.