'It's not gold plating if it gives business certainty'
The Law Society has advised government that the proposed repeal of amendments to TUPE (Transfer of Undertakings) regulations risks creating uncertainty and added costs for business.
In its response to a Department for Business, Innovation and Skills consultation on the proposed changes, the Society points out that the 2006 amendments greatly improved clarity about the application of the law in a notoriously complex field. This has led to a reduced number of TUPE-related claims going to the Employment Tribunal and appeals to the Employment Appeal Tribunal.
Angharad Harris, chair of the Law Society Employment Law Committee, said:
'In this instance, government has mistaken provision of clarity for 'gold plating'. Repealing the 2006 amendments would only increase uncertainty, and thus the number of disputes. Businesses and employees both want certainty.'
In her foreword to the Department for Business Innovation and Skills consultation paper on the proposed changes, employment minister Jo Swinson MP wrote:
'We believe that our proposed changes will improve and simplify the regulations for all parties involved.' This will be done by removing regulation where it has been 'gold-plated'.
TUPE protects employees' terms and conditions of employment when a business is transferred from one owner to another. When the business changes hands, employees of the previous owner automatically become employees of the new employer on the same terms and conditions. Their continuity of service and any other rights are all preserved.
Read the Law Society response
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