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United Kingdom

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Key definition

Group Company definition

What does Group Company mean? In practice, group company describes, in relation to a specified company, any other company that belongs to the same corporate group as that company. It means, in relation to a company, any member of its Group, with Group normally defined in the relevant document. Typically, this captures the parent or holding company, the company itself, its subsidiaries and any fellow subsidiaries. Many agreements define Group by reference to statutory concepts: in the UK, the Companies Act 2006 terms parent undertaking/subsidiary undertaking or holding company/subsidiary; in Ireland, the Companies Act 2014 terms holding company/subsidiary. The expression Group Company...

TUPE 2006: cross-charged employee transfer to B on A's demerger?

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Q&As

For general guidance on Demergers, see: Demergers—overview. You might wish to assess:

whether the intended demerger constitutes (a) a business transfer or (b) a service provision change (SPC) under the Transfer of Undertakings (Protection of Employment Regulations) 2006 (TUPE 2006), SI 2006/246
if so, the consequences of a relevant transfer under TUPE 2006, SI 2006/246 for employees of Company A (ie would the transfer result in those employees moving to Company B, which will depend on the nature of the transfer)
if the employee cannot establish the sought-after right under TUPE 2006, SI 2006/246, whether they can contend that they are in fact (and were pre-transfer) employed by Company B, despite, for example, holding a Contract of employment with Company A

Is there a business transfer under TUPE 2006?

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