TRANSFER OF UNDERTAKINGS – Transfer
This issue in the appeal was whether, following a relevant transfer within the meaning of the Transfer of Undertakings (Protection of Employment) Regulations2006 (‘TUPE’), the transferor continues to be bound by the duty, pursuant to s.9 of the National Minimum Wage Act 1998 (‘NMWA’), to maintain wage records in respect of the transferred employees. The ET had held that the Respondent transferor continued to be bound by that duty and was therefore the appropriate subject of a production notice. The Respondent appealed.
Held: Allowing the Respondent’s appeal, the said duty transferred to the transferee upon transfer pursuant to Reg 4(2) of TUPE. Accordingly, the Respondent transferor was no longer required to maintain such wage records and was not required to comply with the production notice. There was no warrant in the legislative scheme for carving out an exception from the wide scope of Reg 4(2) in respect of NMWA matters.
Citations:
[2019] UKEAT 0170 – 18 – 0205
Links:
Jurisdiction:
England and Wales
Employment
Updated: 10 July 2022; Ref: scu.639328