Ferguson v Astrea Asset Management Ltd [2020]
Posted In: Case Law-
Decision Number
UKEAT/0139/19 -
Legal Body
Employment Appeal Tribunal (UKEAT) -
Type of Claim / Jurisdiction
Transfer of Undertaking (TUPE)
Introduction
This month we report on a case where senior employees of a transferor deliberately enhanced the benefits and conditions with a view to passing them on to a transferee. How often has that happened to you, or a client transferee? Well, a recent UK EAT decision suggests the transferring employer/employee might not be able to get away with it.
The Ferguson case
Ferguson v Astrea Asset Management Ltd UKEAT/0139/19 is massively important. The EAT has held that when directors/employees improved their contractual benefits in view of a pending transfer, these variations were either void or fell foul of the EU abuse of law principle.
Reg 4(4) of TUPE, properly interpreted in a “broad
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Disclaimer:
The information in this article is provided as part of Legal-Island's Employment Law Hub. We regret we are not able to respond to requests for specific legal or HR queries and recommend that professional advice is obtained before relying on information supplied anywhere within this article.
Dr John McMullen
Spencer West LLP
The main content of this article was provided by Dr John McMullen. Contact telephone number is 07769299610 or email drjohn.mcmullen@spencer-west.com
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