The Transfer of Undertakings (Protection of Employment) Regulations 2006, commonly referred to as TUPE, are an essential aspect of UK employment law. These regulations are designed to safeguard employees’ rights when a business or part of a business, including service provisions, is transferred from one employer to another. TUPE is particularly relevant in the cleaning industry, where office cleaning contracts often switch between providers due to retendering or changes in service agreements.
What Does TUPE Mean in Practice?
When an office cleaning contract changes hands, TUPE ensures that the cleaners currently working on that contract automatically transfer to the new cleaning company. This transfer happens with complete continuity of employment, meaning their length of service is preserved, and they retain the same terms and conditions they had under their previous employer. This includes:
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Hourly pay rates
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Working hours and patterns
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Holiday entitlement
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Sick pay and other contractual benefits
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Length of continuous service
This legal framework aims to prevent employers from undercutting existing staff terms or replacing them with new, lower-paid workers. This situation was more common before the introduction of TUPE.
Why TUPE Matters for Businesses and Cleaning Contractors
For businesses that outsource their cleaning services, understanding TUPE is vital during procurement or re-tendering. If you are awarding a new cleaning contract, the incoming supplier is likely to inherit existing cleaning staff. You cannot simply expect a completely new team unless the contract change falls outside the scope of TUPE, which is rare.
For cleaning companies, whether incoming or outgoing, TUPE compliance involves several responsibilities:
1. Employee Identification
The current contractor must identify which employees are assigned to the outgoing contract. These employees are eligible to transfer under TUPE.
2. Employee Liability Information
At least 28 days before the transfer, the outgoing contractor must provide the incoming contractor with up-to-date employee liability information. This includes details such as:
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Names and ages of employees
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Terms and conditions of employment
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Any disciplinary or grievance procedures
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Details of any claims brought by employees
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Information about collective agreements (if applicable)
3. Consultation and Communication
Both parties must consult appropriately with affected staff and, if applicable, their representatives (such as trade union officials). Failure to consult properly can lead to legal claims and compensation of up to 13 weeks’ gross pay per affected employee.
4. Handling Changes Post-Transfer
Under TUPE, changes to employment contracts resulting from the transfer itself are generally void, unless there is an economic, technical, or organisational (ETO) reason, such as changes in the workforce, including redundancies. Even then, consultation and fair process must be followed.
Common Challenges in the Cleaning Sector
The cleaning industry presents unique challenges due to the often low-paid, part-time nature of the work and the frequent changes in contracts. Common issues include:
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Lack of clear documentation about which staff are assigned to a particular contract
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Misunderstandings about who bears redundancy liability
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Pressure to reduce costs by altering employee terms
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Insufficient notice periods between contract award and transfer dates
To avoid these pitfalls, cleaning companies and their clients should engage early in the TUPE process, communicate transparently, and plan thoroughly for any staff-related changes.
Conclusion
TUPE is a vital regulation designed to provide continuity and protection for employees during service transfers. For the cleaning industry, where contract changes are routine, compliance with TUPE not only ensures legal protection but also contributes to a smoother and more ethical transition of services.
Both businesses outsourcing cleaning services and contractors taking on new work must understand and follow TUPE obligations. Failure to do so can result in legal challenges, financial penalties, and reputational damage.
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