Transfer of "stable economic entity" required

Article Abstract:

A European Court of Justice 1995 ruling held the EC Business Transfers Directive only applies in cases involving the transfer of a stable economic entity whose activity in not limited to one specific contract. While the continuity and duration of the services transferred could be important considerations, in most contracting-out situations, such a transfer naturally takes place in the normal workflow. If the transferred service is limited in its duration, then courts might look to see proof of a transfer of a larger body of assets, as required by the 1995 ruling.

Interpretation and construction, Construction law, European Community

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EFTA Court consider Business Transfers Directive

Article Abstract:

The European Free Trade Association (EFTA) Court believes the European Community Business Transfers Directive excludes employee pension rights. Three EFTA Court cases are profiled, all of them involving business transfers and their impact on pensions and other employee rights. The EFTA Court may have no formal legal standing, but two of the cases represent the first supra-national court opinions on the pensions exception.

Practice, Pensions, European Free Trade Association, European Union

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Transfer not dependent on employee's knowledge

Article Abstract:

A 1996 UK Employment Appeal Tribunal (EAT) decision holds that employment contracts can be transferred without employees' prior knowledge. The protections afforded by the Transfer of Undertakings Regulations would be undermined if employee knowledge was required prior to business transfers, according to the EAT's ruling in the Cook case. The EAT decision affirms the Regulations' automatic transfer feature.

Workers

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