The following Employment Q&A provides comprehensive and up to date legal information covering:
A service provision change under the Transfer of Undertakings (Protection of Employment) Regulations 2006, SI 2006/246 (TUPE 2006) may involve any one of three possibilities:
outsourcing: where activities cease to be carried out by a person ('a client') on his own behalf and are carried out instead by another person on the client's behalf ('a contractor')
change of contractor: where activities cease to be carried out by a contractor on a client's behalf (whether or not those activities had previously been carried out by the client on his own behalf) and are carried out instead by another person ('a subsequent contractor') on the client's behalf, or
insourcing: where activities cease to be carried out by a contractor or a subsequent contractor on a client's behalf (whether or not those activities had previously been carried out by the client on his own behalf) and are carried out instead by the client on his own behalf
In addition to the need for one of those three situations to apply, the following conditions must be satisfied:
(immediately before transfer) there must be an organised grouping of employees (which may be a single employee) situated in Great Britain
(immediately before transfer) the principal purpose of the organised grouping must be the carrying out of the activities on behalf of the client
(immediately before transfer)
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