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17 March 2015 0 Comments
Posted in Employment, Opinion

TUPE – one employee is an organised grouping

Author headshot image Posted by , Partner

In Rynda (UK) Limited v Rhijnsburger, the Court of Appeal has held that a commercial property manager who was solely responsible for managing a group of Dutch properties for a client comprised an “organised grouping of employees” for the purposes of TUPE. Although she worked alone, she was effectively a one-person department and she had been specifically allocated the Dutch properties by her employer. Accordingly, when the management of the client’s entire portfolio transferred to a subsidiary of the owner, a service provision change took place and the property manager transferred to the subsidiary. The Court held that the fact that she had previously assumed some responsibility for other properties did not affect this as she had always devoted the majority of her time to the Dutch properties and thus the “principle purpose” test was satisfied. The principle that one employee could constitute “and organised grouping of employees” has been well known since the early days of TUPE 2006.

This legal update is provided for general information purposes only and should not be applied to specific circumstances without prior consultation with us.

For further details on any of the issues covered in this update please contact Gemma Ospedale, Partner in Employment on 020 7583 2222.

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