TUPE guidance issued by ICO

Employers transferring their businesses to new owners have been given new guidance to help them to comply with the Data Protection Act when providing information about employees to potential buyers.

The Information Commissioner's Office (ICO) has provided the instructions for employers who have to comply with the Transfer of Undertakings Protections of Employment Regulations (TUPE).

TUPE ensures that conditions for workers do not change with a business transfer.

It requires details of pay, holiday entitlement, contracted hours and details of grievance action to be given to the new employer before the transfer is made.

However, the ICO wishes to ensure that this information remains secure.

Assistant commissioner at the ICO Phil Jones said that only details required by law to be passed on should be transferred.

He added that: "If not prevented by insider trading restrictions, employees should be told that their information is going to be passed on."

According to the government, staff whose current terms and conditions are not reinstated by a new owner are facing a breach of contract.

Contact us for legal advice