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TUPE: variation of terms void - Ferguson v Astrea Asset Management Ltd [EAT] 15.05.20 (Unreported)

Substantially improved terms in employees' employment contracts, which the employees had arranged in anticipation of a TUPE transfer to compensate them for loss of business, were void under the Transfer of Undertakings (Protection of Employment) Regulations 2006 reg.4(4). Regulation 4(4) covered all contractual variations made by reason of the transfer, not only those which were adverse to the employee. Even if that interpretation of reg.4(4) was wrong, the employees were precluded from relying on the new contractual terms under the EU abuse of law principle as Directive 2001/23 could not be relied on for abusive or fraudulent ends.
Category: Employment » Contracts of employment; Transfer of undertakings; EC Law. Area(s) of law: Employment.
Source: UKEAT/0139/19.

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