Liquidation - continuation of service

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Some advice please. If an employer goes into voluntary liquidation, and immediately re-opens a new company under a different name, can he insist that his employee transfers to the new company assuming he does not alter the working hours, salary, location etc?

What about continuation of service length - surely it cannot be transferred to a new company?

Or, can the employee simply apply through the liquidators (Insurance fund pays the redundancy I assume) for their redundancy?

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  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Name Dropper First Anniversary First Post I've helped Parliament
    edited 14 May 2010 at 6:03PM
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    I think the adinistrator can TUPE the employees as part of the asset transfer to the new company to avoid the state picking up the redundancy payments.
  • bash67_2
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    Getmore4less

    Thanks. Not the answer I was hoping for but much appreciated! The redundancy would have been better for me at my age...
  • Debt_Free_Chick
    Debt_Free_Chick Posts: 13,276 Forumite
    Combo Breaker First Post
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    No-one really gets to choose whether TUPE applies or not. If the circumstances of what has happened amount to TUPE, then TUPE applies - there is no "opt-out".
    Warning ..... I'm a peri-menopausal axe-wielding maniac ;)
  • markandkate
    markandkate Posts: 846 Forumite
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    If a company closes down but does not go into liquidation then there is no redundancy as the company is not in liquidation. In such a case the company effectivley closes down and then carries on as before. In such a case you have no grounds for redundancy as you have not been made redundant. As your employmnet continues you continue to accure service so that if you are made redundant your previous service counts
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