Proposed TUPE changes could increase employment costs
Employment costs for services and facilities companies in the specialist engineering sector could increase if a Government consultation on changes to TUPE (Transfer of Undertaking [Protection of Employment] Regulations) are implemented, according to B&ES. Peter Rimmer, head of the association’s employment affairs department, says, ‘The Government is putting forward proposals for changes, to take effect from the autumn of this year, which we believe are unnecessary.’
He adds that, in general, employers and trade unions were satisfied with the effect of the revised TUPE Regulations introduced in 2006. ‘Indeed, industry lobbied hard for these, because they introduced a degree of clarity and therefore reduced uncertainty.’
The result has been a reduction in disputes and costly tribunal cases. It has also been easier for employers to take proper account of their obligations under TUPE.
Peter Rimmer says, ‘We feel that what the Government is now proposing will signal a return to the malpractice and abuse which, without the benefit of the 2006 regulations, bedevilled the application of TUPE in outsourcing situations.’