21 Effect of transfer of eligible employees.E+W
(1)The contract of employment of an employee transferred under a scheme—
(a)is not terminated by the transfer,
(b)has effect from the date of transfer as if originally made between the employee and the transferee.
(2)Where an employee is transferred under a scheme—
(a)all the rights, powers, duties and liabilities of the old employer under or in connection with the contract of employment are by virtue of this subsection transferred to the transferee on the date of transfer, and
(b)anything done before that date by or in relation to the old employer in respect of that contract or the employee is to be treated from that date as having been done by or in relation to the transferee.
This subsection does not prejudice the generality of subsection (1).
(3)But if the employee informs the old employer or the transferee that he objects to the transfer—
(a)subsections (1) and (2) do not transfer his contract of employment, or the rights, powers, duties and liabilities under or in connection with it, and
(b)the contract of employment is terminated immediately before the date of transfer.
(4)An employee is not to be treated, for the purposes of the M1Employment Rights Act 1996, as having been dismissed by the old employer by reason of—
(a)the transfer of his contract of employment under a scheme, or
(b)the termination of his contract of employment by virtue of subsection (3).
F1(5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(6)This section does not prejudice any right of an employee to terminate his contract of employment if a substantial change is made to his detriment in his working conditions.
But no such right arises by reason only that, by virtue of this section, the identity of his employer changes unless the employee shows that, in all the circumstances, the change is a significant change and is to his detriment.
(7)In this section—
“date of transfer” means the date of transfer determined under the scheme in relation to the employee,
“scheme” means a scheme made by virtue of section 20,
“transferee” means the new employer to whom the employee is or would be transferred under the scheme.
Textual Amendments
F1S. 21(5) repealed (1.4.2008 for specified purposes, 1.4.2009 for specified purposes, 1.4.2010 in so far as not already in force) by Offender Management Act 2007 (c. 21), s. 41(1), Sch. 5 Pt. 1; S.I. 2008/504, art. 4(1)(m)(vi)(2); S.I. 2009/547, art. 2(1)(m)(vi)(2); S.I. 2010/191, art. 2(13)(f)
Marginal Citations