What is TUPE?
TUPE stands for the ‘Transfer of Undertakings (Protection of Employment) Regulations 2006’. The TUPE regulations protect employees’ terms and conditions when a business (outsourcing of services or conversion to Academy) is transferred to a new employer. The TUPE rules apply to organisations of all sizes. Employment rights covered by TUPE include pay and holidays, it does not include pensions.
However, there are government measures to ensure that your Local Government Pension Scheme (LGPS) pension is protected should your job be transferred to another employer.
Who is protected?
The protection applies to all employees that are eligible to be a member of the LGPS, even if they were not actively contributing to the scheme on the date of the TUPE transfer.
The protection continues to apply for as long as the employee is wholly or mainly employed in connection with the provision of services under the service contract.
What is the TUPE process?
As a part of the consultation stage of the TUPE process, your current employer should make sure that your new employer has sufficient pension arrangements.
Your current employer will tell you if your new employer will provide you with continuing membership in the LGPS via an admission agreement, or, provide you with a broadly comparable scheme which you would be transferred into. Please note that Academies and non-Local Authority maintained schools transferring out services will only have the option to continue in the LGPS.
If you have been offered a broadly comparable scheme instead of continuing membership in the LGPS, you will be given the choice to transfer your pension rights. This may take some time, but while it is being finalised you will continue building up a pension in your new scheme.
Where can I find out more information regarding a TUPE transfer?
If you are unsure about the impact, in any way, of your job transferring to a new employer, you should speak to your line manager or HR Advisor who will be able to assist.