Legality of Transferring Employees Between Separate LLPs

bleachershane

UK employment law experts, I need some help on this one. I would really like a definitive answer on this query as I need to be certain that my stance on this matter is either correct or not correct.

I work for an LLP, that is owned by a Limited company. This Limited company (alongside another separate Limited company) holds many other LLPs.

As far as my knowledge on these matters goes, these LLPs are run as separate entities and the only link between them is that they are owned one of these two holding companies, and the link between the LLP and the holding company is relatively tenuous.

I have been told by a Regional Director that we can transfer employees between these separate LLP entities because each LLP is owned by one of two holding companies.

But every separate LLP has their own contracts, payroll, terms and conditions of employment, etc

I have stated that transferring staff is not possible because each LLP is a separate entity, a Regional Director has been told me that they are actively transferring employees across these businesses and that I am being instructed to do the same.

If anyone can shed any light on the legalities of this matter, it would be gratefully received.
 

Sandtree

Why is there a proposal to transfer the employees?

Proper legal advice really needs to be taken on if it is considered a variation of contract or a TUPE transfer. Depending on which it is will dictate the level of information/consultation required and the rights if these arent followed.

Are you sure individuals are actually employees of the LLPs?  Often in group companies the employees, outside of partners, are normally employees of a service company and an intragroup agreement exists to allow the service company to perform the tasks onbehalf of its sister companies with the appropriate cross charging. This then lessens the issues of moving people around the organisations as the employer doesnt change.

Marcon

bleachershane said:

I have stated that transferring staff is not possible because each LLP is a separate entity, a Regional Director has been told me that they are actively transferring employees across these businesses and that I am being instructed to do the same.

 

Employees can (almost) always be transferred from one business to another (with or without their consent, and the transfer may or may not be under TUPE). What makes you think they can't?