The DTI has delayed the implementation of new TUPE regulations until 6th April 2006.
Originally the DTI had planned to lay the new regulations before Parliament by 1 July 2005, bringing them into force on 1 October 2005. However, as a result of the large volume of responses to the consultation exercise, which closed on 7th June, and the many issues that have been raised by respondents, Ministers have decided to set a new timetable for finalising the Regulations. Consequently, the DTI now plans to lay the regulations before Parliament in Autumn 2005, bringing them into force on 6 April 2006.
The main changes that the new regulations will make include widening the scope of TUPE in 'contracting-out' situations; clarifying the law on transfer-related dismissals; imposing an obligation on the transferor to notify the transferee of all rights and liabilities that will pass on the transfer and giving greater flexibility where the transferor is insolvent. Businesses
