TUPE

TUPE refers to the Transfer of Undertakings (Protection of Employment) Regulations. TUPE rules apply to organisations of all sizes and protect employees’ rights when the organisation or service they work for transfers to a new employer. TUPE rules will impact both the transferring employer and the new employer.

In such a transfer, the ‘incoming’ employer must assess the transferring employees on the date of transfer and automatically-enrol them for pension purposes if they’re eligible. The ‘outgoing’ employer’s pension scheme doesn’t transfer under TUPE, but if the transferred employees were members of an occupational pension scheme, the ‘incoming’ employer must offer them a pension.

Where the ‘outgoing’ employer has made a contractual promise to an employee to pay a certain percentage of salary each year into a personal pension plan or a group personal pension plan, the promise will transfer across to the ‘incoming’ employer under TUPE.

 

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You can find more information on the ACAS website.

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