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TUPE: service provision changes and outsourcing

PLEASE NOTE: Information in this article is correct at the time of publication, please contact DFA Law for current advice on older articles.

The Court of Appeal has confirmed that there will be no service provision change for the purposes of second-generation outsourcing where the activities carried out by different contractors before and after the change are not for the same client. This decision will be particularly relevant to property transactions, where ownership or management of a commercial property changes at the same time as the service providers (for example, cleaning staff or security guards).

Our checklist explains when TUPE applies and sets out the different obligations a business involved in the transaction may owe under the legislation.

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