Group 4 has a longstanding history of people management in a well-honed customer services environment. Without doubt, the company’s policies and procedures have evolved from a culture of staff motivation, development and fair treatment.
Group 4 has also been quick to recognise a need to embrace the standards and values contained within the Human Rights Act, as this Act reinforces the values of equal opportunity and fair treatment of staff. In addition, the Human Rights Act also provides a much-needed focal point for operating procedures and policies relating to our numerous public sector services.
Ultimately, all of the above factors have given rise to a clear and full understanding – and, crucially, experience – of the Transfer of Undertakings and Protection of Employment Act 1981 (otherwise known as TUPE), and the subsequent emerging case law.
A successful TUPE transfer will require significant assistance on the part of the current employer, both in terms of providing salient information and in facilitating consultations with staff and representative bodies.
Group 4 has sound experience of such processes, employing a number of human resource professionals who have the knowledge and experience to address the issues, advise Trade Union officers and inform members of staff that any transfer to Group 4 will be nothing less than a positive experience.
Payroll and Employee Benefits Departments, including the Pensions Department, have dealt with staff transfers from both the private and public sectors. The company has negotiated satisfactory industrial relations procedures to take over the transferring recognition and procedure agreements. It has also negotiated satisfactory and broadly comparable pension terms with the Government’s Actuary’s Department (including bulk transfer terms).
Group 4 also recognises a number of Trade Unions, including GMB, PCS, AEEU and Unison.
During the 1990’s, Group 4 was directly involved in the application of TUPE when transferring staff into the company from the public and private sectors alike. Indeed, nearly 5000 staff have transferred into the company under the statutory requirements of TUPE.
Such experience has demonstrated the importance of appreciating the basic conditions of employment, and the culture of the undertaking effected by these transfers.
Key areas which need to be addressed when transferring members of staff…
There are several areas that must be addressed from the outset…
1. Make sure there’s a clear understanding of the terms and conditions of employment that transfer, and which need to be replicated. This will apply to both written terms of employment, as well as implied terms.
2. Ensure that the company pay rules are understood early on such that the staff are paid “right first time”, and that pension issues and the like are clearly understood and actioned from the word ‘go’.
3. Make sure that every effort is made to have early contact with recognised Trade Unions.
4. Be certain that every effort is made to facilitate staff communication before the finalised date of transfer.
5. Make sure the intended changes after the date of transfer are communicated clearly to the current employer, the recognised Trade Unions and – last but not least – the staff.
6. If there are negative messages which have to be communicated, make sure the current employer is consulted and is fully appreciative of the intended changes (and, importantly, the reasons for those changes).
7. A crucial point to remember is that the transferring staff must be made to feel welcome. With this in mind, build in enough time in the schedule to ‘introduce the company’ to the transferring staff.
Group 4 has been proactive in dealing with the last of these essential reminders, having set up an induction programme designed for transferred staff (this includes an introduction to the company, the revised polices and procedures and details of contractual issues).
The company stresses the importance of respecting Trade Unions, and the key role which they can – and very often do – play in a company’s employee relations. It also values the importance of establishing a productive relationship, and actively seeks partnership agreements where appropriate.
In addition to its standard corporate pension scheme, Group 4 has created a number of plans designed to meet the “broadly comparable” and “mirror” tests. The firm’s Pensions Department and Trustees will ensure that the appropriate pension scheme rules can be applied. It’s normal to reach agreement over “bulk transfer” terms, and the pension issue is important in all TUPE situations. Importantly, Group 4 offers full briefings for all transferring staff on the various company schemes.
On all those occasions where the creation of a new partnership involves the transfer of staff from one organisation to another, there will invariably be a requirement to change roles and/or job titles.
Sometimes, there may also be an unfortunate redundancy situation where jobs are no longer required in the new structure.
It almost goes without saying that sensitivity is essential in handling events of this nature, bearing in mind the worry and concern that staff will have. In those situations where the company has identified the need for a new structure, the normal consultation procedures must be followed.
Recent case law decisions have held that terms cannot be legally binding at the point of transfer – or as a result of the transfer – even with the consent of the individuals involved.
Any intended changes must be implemented in the full knowledge of that case law.
On the date of transfer, terms and conditions of employment will be replicated. After that time, any future changes or variations will be subject to the normal rules which an employer has to follow when a variation or change is intended.
