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Contract Variations and TUPE transfers

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The EAT has, today, handed down an interesting decision on contractual variations following a TUPE transfer. The case was decided under TUPE 1981, but the principles remain relevant to TUPE 2006.

Elias P. held that the Daddy's Dance Hall principle - i.e. that changes to contracts made as a result of TUPE transfers are void - does not apply to changes which are to the benefit of the employee. It is only changes to the detriment of the employee that are void.

The core reasoning is at paragraphs 49-54.

Power v Regent Security Services