In a TUPE situation, a transferee employer is not required to consult with transferred employees post-transfer regarding measures it envisages taking in relation to them (AMICUS v Glasgow City Council & ors).
For example, if a transferee is proposing redundancies after the transfer it is not under an obligation to consult post-transfer with the appropriate representatives of the transferred employees under the TUPE Regulations. It will however of course still have to comply with any consultation obligations that may be triggered under the collective redundancy provisions of the Trade Union and Labour Relations (Consolidation) Act 1992.
Glasgow City Council transferred its Building Services Division (employing approximately 2,000 employees) to City Building (Glasgow) LLP, one of Scotland’s largest construction companies. A number of trade unions brought claims in the Tribunal over an alleged failure by the parties to comply with their obligations to inform and consult under TUPE.
The EAT agreed with the Tribunal that a transferee is not obliged to consult with the transferred employees post-transfer. This is what most of us thought, so it comes as something of a relief in that sense, but this is the first time the EAT has ruled on this issue. It means that parties to a TUPE transfer should focus on their pre-transfer obligations.