Staff.. do we have to keep them?

[Choice]

I am sure this question has been asked before (but i can't find it with the search facility)

We are looking to buy another business and have the lease for the shop assigned to us. Currently there are 3 staff; 1 full time manager and 2 part timers.

The current owner has only had the business since April and has told us that we won't need to keep these staff on. Is that right? I thought you were legally obliged to retain the staff?

Thanks for any advice offered.

 

[PERCY67]

Yes you do need to take them on under TUPE. You'll find details of TUPE on the internet.

You should check the staff contracts for entitlements and redundancy which may be enhanced. Pay rates as well can also be an issue.

If YOU do not want the staff and are infact just buying the goodwill of the business then it's upto the current owner to sort out the redundancy.

 

[Big Pete]

I am sure this question has been asked before (but i can't find it with the search facility)

We are looking to buy another business and have the lease for the shop assigned to us. Currently there are 3 staff; 1 full time manager and 2 part timers.

The current owner has only had the business since April and has told us that we won't need to keep these staff on. Is that right? I thought you were legally obliged to retain the staff?

Thanks for any advice offered.

Less than 12 months not a problem ..and !!! you never hired them he did right

Dont be namby pamby in business rule 1 of many

 

[Choice]

Hmmm, 2 replies.

1 saying yes we have to keep them, the other saying no we don't.

Which is it? :| :|

 

[papverpoppies]

Looking after existing staff


Poppy xx

 

[kulture]

Look up TUPE. It details it all. If the staff involved have been employed less than 12 months you have more options.

 

[MikeJ]

When you say the previous owner only had the business since April, do you mean he bought it then or that he established it then? How long have the employees been there?

 

[Choice]

As far as i know he bought the business in April. He bought it from a local leading chain that went bust. The shop closed in January and he bought it and opened it in April. The manager working there now also worked for the previous company, but for how long i don't know.

She may possibly have more than 1 years service, but as the shop was completely closed for 4 months and has new owners since April does that service still carry on? :|

 

[Employment Law Clinic]

Hi Choice,

You do have to keep the staff, they will transfer to your employment along with the business, and you cannot elect to take the shop less the staff.

Redundancy should be handled by you if necessary after the transfer, but there is nothing easy about getting rid of the staff just because they've been there less than twelve months - a dismissal would be automatically unfair if it was related to the TUPE transfer.


Karl Limpert

 

[Choice]

Thanks Karl.

That is a bummer, because i do not want the staff, especially not the full time manager as i would effectively be doing her job. According to the seller she has caused him no end of grief (obviously that is just his side of the story) but i don't think i could make her redundant either, because the job is not redundant... i would be doing it.

Can the seller get rid of the staff prior to the takeover?

Employment law... it's a mindfield and i am not wanting to get this wrong!

 

[Employment Law Clinic]

Hi Choice,

The seller can't rid of the manager, as prior to the transfer there is no reason to end the employment, and any dismissal would therefore be automatically unfair.

Once the transfer is completed, you could get rid of them. A dismissal would be fair if the reason is an economical, technical, or organisational (the ground you'd rely upon) reason (an ETO), requiring a change in the workforce.

Employment law can be a minefield, and it certainly isn't something that you want to get wrong! Taking care to get it right starts now, and you as the transferee have obligations before you even take over. You might find some useful information at http://employmentlawclinic.com/tupe/.


Karl Limpert

 

[Choice]

Thanks again. Last question... for now anyway!

How soon could we dismiss her after takeover on the grounds that there are no hours for her? And how much notice would we need to give her?

 

[Employment Law Clinic]

Thanks again. Last question... for now anyway!

How soon could we dismiss her after takeover on the grounds that there are no hours for her? And how much notice would we need to give her?

You can dismiss pretty much immediately, given that there are no hours for her, but you will need to raise this point in the consultations that you will be having with the staff as part of the transfer.

Notice will be in accordance with the current contract of employment.



Karl Limpert

 

[kulture]

I would suggest that her job is redundant, because you, the owner, no longer need a full time manager.

You are right to get this done properly and I would suggest getting proper legal advice. Pay now to avoid a costly claim latter.