How to take the pain out of a TUPE transfer

If you’re a business leader facing a TUPE (Transfer of Undertakings (Protection of Employment)) process, it can be a daunting task. People Director Catherine Wood explains how to make the process work smoothly so that you can focus on your growing business.

TUPE transfers aren’t just about legal compliance; they touch every corner of your business, especially your people. The good news? You don’t have to go through it alone.

As a fractional People Director, I’ve seen the good, the bad, and the downright ugly of TUPE transfers. With the right support, these transitions can go smoothly, with minimal disruption and happy employees. Without an experienced adviser on board, it can take up a lot of time and lead to complications.

A TUPE success story

A privately owned pharmaceutical company with 1,200 employees approached me early in their TUPE process. They needed to transfer employees from one company in their group to another for financial reasons. While the legal and financial due diligence was underway, they brought me in to handle the people side of things.

The first thing we did was plan a clear communication strategy. TUPE transfers can make employees nervous—”Will my job change? What about my pay? Who will my manager be?” These are the questions that keep people up at night. To address this, we created a detailed FAQ document to accompany the announcement, explaining that there would be no changes to their terms and conditions (T&Cs), colleagues, roles, or even company cars!

Because we communicated so transparently and reassured employees from the outset, the process was seamless. There were no mass resignations, no panic, and no drama. Employees shrugged and got on with their work. The Managing Director told me later how much he appreciated having someone to handle the heavy lifting while he focused on other priorities.

When TUPE goes wrong

Unfortunately, not every TUPE transfer goes this smoothly. I worked with a tech company with about 75 employees where things started falling apart before the ink was even dry on the acquisition and the relationship between the two MDs was strained.

When the announcement finally came, the data was a mess. Records of salaries, lengths of service, and even probation statuses were out of date or incorrect. Employees quickly realised something was happening but had no idea what it meant for them. The result? High turnover.

Many of the company’s best employees—some of the very talent they had acquired the business for—left. The MD was left scrambling to reassure remaining staff while firefighting operational issues caused by the departures. The whole process was painful, expensive, and disruptive.

Why a fractional People Director makes a difference

So, what could have saved the tech company from such a mess? The answer is involving a People Director early in the process. Here’s how we can help:

Clarity from the start:

A People Director will confirm whether a situation even qualifies as TUPE and guide you through the legal and practical implications.

Smooth transition:

A fractional People Director can have a huge impact in making the company more attractive to an acquiring company by strengthening the management team and transiting tasks from an exiting senior leadership team.

Due diligence done right:

We create and maintain a robust database of employee information to avoid nasty surprises later.

Seamless communication:

From preparing announcements to FAQs, we ensure employees know what’s happening and why, easing their concerns.

Consultation without conflict:

Consulting with employees and unions (if necessary) is part of the TUPE process. Many MDs find this daunting, but it’s second nature to us.

Onboarding for success:

After the transfer, we help integrate employees into the new organisation, maintaining morale and productivity.

A TUPE transfer is about 40% financial and 60% people. It’s not just a legal process; it’s an emotional one, too. Employees need reassurance that their jobs, pay, and conditions are secure, while you need confidence that the transition won’t derail your business.

Bringing in a fractional People Director means you can focus on the bigger picture while we take responsibility for the people aspect and handle the details. From legal compliance to employee engagement, we take the pain out of the process.

If you’re considering a TUPE transfer, don’t let it keep you awake at night. With the right support, it can be a smooth journey for you and your employees. And who knows—you might even end up with a team that’s stronger and more united than before.