An introduction to European employment law for Japanese companies

Size: px
Start display at page:

Download "An introduction to European employment law for Japanese companies"

Transcription

1 Acquisitions issues to expect Employing staff in Europe An introduction to European employment law for Japanese companies For Japanese companies encountering the European employment law system for the first time, a number of its features will be familiar. However, the unique way in which law has developed across Europe means that although there are common themes, the implementation of laws varies from country to country and, therefore, specialist advice and guidance is often needed. The implementation of EU law varies from country to country There are 28 countries in Europe that are member states of the European Union (EU). As a condition of EU membership, each European member state must implement the employment legislation passed by the European Parliament. However, each member state has a degree of flexibility on how it chooses to implement EU legislation, and that means, inevitably, differences have arisen in the employment law framework in each member state. In addition, differences in implementation and approach are apparent between countries that have been EU member states for a number of years and those that have recently joined (with the former typically having a more sophisticated approach to employment legislation and employee protection). Those differences mean companies operating in Europe can find the employment law landscape a challenging one. Recently, key European countries have implemented changes to their employment laws in response to the economic downturn and in an effort to remove bureaucracy and stimulate business. While generally being employer friendly, these changes mean that even companies that are familiar with the European employment law regime may find it difficult to keep up to date with the latest developments. This guide gives an overview of some of the key aspects of employment law that Japanese companies may encounter when acquiring European businesses or when employing staff in Europe. Acquisitions issues to expect Collective consultation Employee works councils and trade unions, which represent collectively the views of employees, are a common feature across much of Europe. Trade unions are independent, external organisations representing employees within a certain industry or business sector. Works councils, meanwhile, are internal employee representative bodies usually made up of elected employees. Works councils have the right to give advice or opinions with respect to significant management decisions proposed by a company. They may also have the right of approval in relation to certain proposed decisions regarding employment benefits and working conditions. Freshfields Bruckhaus Deringer LLP 1

2 In addition to local (ie country-specific) works councils, many companies operating in Europe also recognise European Works Councils, or EWCs. EWCs must be consulted on matters that have transnational significance, such as headcount reductions or transactions that affect employees in more than one EU member state. The significance of EWCs, local works councils and trade unions in Europe in the context of a potential acquisition lies in the fact that consultation must often be carried out by the seller with those bodies before acquisition documentation is signed. Their involvement can in some circumstances delay or block transactions. EWCs must be consulted on matters that have transnational significance Confidentiality obligations to which employee representatives are subject vary between European jurisdictions In the Netherlands, for example, if a works council exists, it must be consulted and asked to give an opinion before any contracts or letters of intent are entered into. If the works council advises against the proposed transaction, then a one-month waiting period must be observed before the transaction can proceed. During that period, the works council could lodge an appeal in court, claiming that the employer s decision to proceed with the transaction is unreasonable. A finding in the works council s favour by the court could block the transaction. The interplay of EWC and local works council or union consultation processes must be handled carefully to make sure relevant obligations are observed and timings are met. It is typical for consultation with the EWC to be handled first with local consultation processes following, but local laws in some European countries may require an alternative approach to be adopted. This is an issue that must be considered early in any transactional process. In the early stages of an acquisition, companies particularly listed companies with obligations to formally announce price sensitive information will often be concerned about confidentiality and may therefore be reluctant to share information with employee representatives, particularly where transaction documentation is yet to be signed. Confidentiality is not generally regarded as a sufficient justification to enable a company to avoid sharing information with a works council or trade union in order to comply with the relevant legal obligations. The confidentiality obligations to which employee representatives are subject (once information has been shared) vary between European jurisdictions. In some countries employee representatives are subject to stringent confidentiality requirements but in others, the existence of confidentiality obligations (and the enforcement of any obligations) is limited. There is often an assumption that information, once shared with employee representatives, will soon find its way into wider circulation. This is a challenge often faced by companies contemplating transactions in Europe, and a particular issue for listed companies undertaking large transactions. Because of the potential impact on transaction timetables (or even the ability of the transaction to proceed), the jurisdictions where works council consultation obligations are regarded as most significant are France and the Netherlands. In addition to potential delays, non-compliance with consultation obligations in France can lead to personal criminal liability for a company s directors. In other jurisdictions, although consultation with employee representatives may be required, the penalties for non-compliance are usually only financial and criminal liability is not common. There are a number of practical options that can be considered by investors to deal with consultation obligations. One possible route is for the buyer to make an irrevocable offer to buy the relevant company, which is not accepted by the seller until consultation has been completed. We advise regularly on these sorts of structures and on their enforceability. 2 An introduction to European employment law for Japanese clients, February 2014

3 Automatic transfer of employees Another feature that is common across Europe is the automatic legal transfer of employees when a business is sold. Employees who are employed within a transferring business will automatically become employees of the entity acquiring that business and liabilities in relation to those employees will transfer to the buyer. Employees are protected from dismissal in connection with a transfer to a new employer Pension schemes can be a significant issue Following the transfer of their employment, employees terms and conditions are protected, which can make it difficult to harmonise the incoming employees terms with those of the existing workforce. In Europe it would be typical to need the consent of each individual employee to implement a disadvantageous change to employees terms and conditions. In some cases, even individual consent will not be sufficient and an employee who consents to a detrimental change in his terms and conditions following a transfer (perhaps in return for another, more favourable, change elsewhere in his contract) could later cherry pick his terms ie the benefit of the favourable change, but argue that the detrimental change is void. This is a particular difficulty in the UK. In addition, employees are protected from dismissal in connection with a transfer to a new employer. Although it is possible to take advantage of the synergies created by business acquisitions, care must be taken that any dismissals are implemented fairly and do not target only the incoming workforce. Pension schemes In the UK, in particular, pension schemes can be a significant issue. Defined benefit pension schemes, although declining in popularity, are still operated by a number of companies in the UK. These schemes guarantee employees a certain level of pension on retirement. They are expensive to run and carry a high level of funding risk. The actuarial bases used to value the assets and liabilities of defined benefit pension schemes mean that these schemes often have significant deficits (running into many tens or hundreds of millions of pounds) and the acquisition of a company with a defined benefit pension scheme is often seen as unattractive. Under the legislation governing these schemes, significant deficits can be triggered on transactions (where, for example, a target company is leaving the seller group s wider pension scheme) this is a big issue for due diligence on transactions involving UK companies. In addition to the potential financial implications of acquiring a company with a defined benefit pension scheme (or with a history of participation in such a scheme), the potential involvement of the UK Pensions Regulator and pension scheme trustees, who are responsible for ensuring the security of members benefits, can affect the timing of transactions. Defined benefit pension schemes are also present in countries such as the Netherlands and, to a lesser extent, Spain. Significant costs may arise if purchasers are required to set up replacement defined benefit pension arrangements for employees. Share schemes Companies in Europe often provide access to share award schemes or option schemes as part of their employee incentive arrangements, enabling employees to acquire shares in their employing company or a parent company. This is particularly the case where the parent company is US based. Share options or awards may not be available to the whole employee population, but may be reserved just for senior management. They can be a valuable and important part of the remuneration package for key employees. Buyers must consider the consequences of acquiring businesses with a history of employee participation in share plans. The leaver provisions applicable to employees on their exit from seller group share plans must be understood, and there may be tax consequences associated with employees participation in such plans. In addition, the buyer may be obliged (either contractually, or from an employee relations perspective) to replicate schemes following completion of a transaction. Freshfields Bruckhaus Deringer LLP 3

4 If establishing and operating a share plan is regarded by a buyer as unattractive or impractical, it could consider establishing a cash-based incentive plan as an alternative. Legal and tax issues for incentive schemes vary across Europe, and specific advice is likely to be required. Employing staff in Europe Countries in Europe do not operate an employment at will system Hiring Countries such as Italy, Spain, France and Germany impose on companies over a certain size a requirement to employ a minimum number of disabled employees. In the Netherlands, Belgium, France and the UK, by contrast, no such positive discrimination obligation exists, though financial incentives may be offered to Belgian employers that hire workers with disabilities. Pre-hiring medical examinations are not mandatory in most of Europe, except in France. In fact, employers must take care that any requirement for an employee to undergo a medical examination is not seen as discriminatory, for example, on the grounds of disability. Bonuses and participation in profits Several European countries have a requirement for a 13th (and in some cases, 14th) month s salary payment to be made to employees by way of bonus payment. In France there is a statutory requirement for companies over a certain size to allow employees to participate in the company s profits, and in other countries collective agreements with trade unions or works councils may set out the terms of incentive arrangements that an employer must offer. Notice periods may vary from one week up to one year or more The award of discretionary bonuses, and the size of these bonuses, has been an issue that has featured strongly in European employment case law in recent years, as employees try to argue that a discretionary bonus is, in fact, a contractual entitlement. Care must be taken when drafting the rules of any discretionary bonus scheme and when operating such a scheme perverse or irrational exercises of discretion will generally be struck down by the courts, even where a scheme s rules apparently give total discretion to the employer. Termination of employment Countries in Europe do not operate an employment at will system, and as a general rule, there must be just cause for any dismissal. In addition, termination of employment is an area where there are some significant variations between different European countries. Generally, an employer will be able to dismiss an employee without notice if the employee s conduct justifies this (eg serious misconduct) or if it would be unlawful for the employment relationship to continue. In other circumstances, notice periods must usually be observed or payment made in respect of the applicable notice period. These notice periods may be specified in the relevant employment legislation or in an individual s employment contract. Notice periods may vary from one week up to one year or more, depending on the seniority of the employee. Countries such as Belgium used to distinguish between blue-collar and white-collar workers, and certain employment rights differed depending on which category an employee fell into although a new law has recently entered into force harmonising the notice periods that apply to these two categories of workers. Italy requires employers to operate a severance fund for employees, and Italian employees are entitled to receive their severance payment even if they are dismissed with just cause. Most other jurisdictions do not operate severance funds of this nature but do provide for statutory payments to be made to employees in the event of redundancy (redundancies are discussed further below). 4 An introduction to European employment law for Japanese clients, February 2014

5 In jurisdictions such as the Netherlands, an employer is unable to unilaterally terminate an employment agreement, other than in exceptional circumstances. Instead, the employer must either ask the court to terminate the employment agreement or must apply to the Dutch labour authorities for a permit to serve notice. Under proposed labour market reforms, from July 2015 this process will be replaced with a one-route system, where the route to be followed depends on the reason for dismissal. In Germany, meanwhile, an employee cannot be dismissed unless the works council (if any) has been consulted. In most European countries, even if an employer observes the relevant notice period for dismissal, the reason for the dismissal is still relevant. Lack of a fair reason (eg poor performance, misconduct or economic reasons) could lead to the employee being reinstated or awarded damages. In addition, a strict procedure must often be followed to render a dismissal fair. Recent labour market reforms have affected this area of the law and have been received positively by employers. In Italy, for example, the availability of reinstatement as a possible remedy is now more limited than previously, thereby reducing the negotiating power of employees in termination discussions. Collective consultation obligations and time periods apply Redundancies European law recognises the concept of redundancy as a potentially fair reason for dismissal. The term redundancy in Europe broadly describes the dismissal of an employee for business reasons for example, if the employer is shutting down a workplace or making efficiency savings by reducing the size of the workforce. An employer in Europe will not necessarily have to suffer financial losses over a significant period to argue that there is a need for redundancies. Where a number of redundancies will be made, collective consultation obligations and time periods apply. If an employer proposes redundancies, it must inform and consult employee representatives (in Europe this could include a works council, trade union or other elected representatives) before making any dismissals. The number of proposed redundancies that triggers the collective consultation obligation varies, but can be as low as two. The consultation period ranges from around 30 days to several months. In some European countries, failure to comply with the collective consultation obligations will render the dismissals void and employees will be reinstated. The potentially lengthy and uncertain period of redundancy consultation in countries such as France has in the past been a concern for employers. However, recent labour market reforms have introduced a fixed time limit on such consultations. Some jurisdictions require the labour authorities to be notified before redundancies take place. Restrictive covenants Most European jurisdictions recognise post-employment restrictive covenants (eg preventing employees from working for competitors) as valid and enforceable, provided that the duration and scope of the restriction are reasonable. In several countries, such as Spain, Italy, France and Germany, the employee must be compensated in exchange for observing any restrictive covenants. The post-termination restriction that may be enforced varies between European countries and in some cases is significantly longer than the six to 12 months. In the Netherlands and the UK, 12 months is usually considered the maximum non-compete restriction that is enforceable. In Spain and Germany, however, the maximum is two years, while in Italy, ordinary employees can be restricted for three years and executives for five. Freshfields Bruckhaus Deringer LLP 5

6 The complexities of European employment law can be challenging to negotiate Conclusion An increasing number of Japanese companies are considering a move into the European market, where they may encounter European employment law for the first time. The complexities of European employment law can be challenging to negotiate, even for companies that are familiar with the system. For companies entering this field for the first time, it can be a daunting prospect. Freshfields employment lawyers throughout Europe are happy to provide further information on the topics in this guide, and to help clients to understand and negotiate the employment issues that arise when doing business in Europe. We also track and advise on the changes and developments in European labour law, particularly the labour market reforms introduced in a number of European countries over recent years to alleviate the effects of the economic slow-down. 6 An introduction to European employment law for Japanese clients, February 2014

7 Your main employment, pensions and benefits contacts: Kathleen Healy Partner T T E Akiko Yamakawa Senior Counsel T E Holly Insley Senior Associate T E Rob Van Eldik Senior Associate T E Laura Chapman Senior Associate T E Jean-François Gerard Head of Practice Development T E Freshfields Bruckhaus Deringer llp is a limited liability partnership registered in England and Wales with registered number OC It is authorised and regulated by the Solicitors Regulation Authority. For regulatory information please refer to Any reference to a partner means a member, or a consultant or employee with equivalent standing and qualifications, of Freshfields Bruckhaus Deringer llp or any of its affiliated firms or entities. This material is for general information only and is not intended to provide legal advice. Freshfields Bruckhaus Deringer LLP, February 2014, 00181

8 freshfields.com

An introduction to European employment law for Korean companies

An introduction to European employment law for Korean companies Acquisitions issues to expect Employing staff in Europe An introduction to European employment law for Korean companies For Korean companies encountering the European employment law system for the first

More information

Major changes in Belgian dismissal rules

Major changes in Belgian dismissal rules What s new? The regime before 1 January 2014 New notice periods for all Transition rules What else is changing? Unresolved issues What is the financial effect of the reform? Major changes in Belgian dismissal

More information

Dismissing senior executives in China

Dismissing senior executives in China Briefing Dismissing senior executives in China Summary Terminating the employment of senior executives can be tricky in any jurisdiction and the People s Republic of China (PRC) is no exception. This briefing

More information

Global investigations: what employers need to know about investigating employees

Global investigations: what employers need to know about investigating employees Global investigations: what employers need to know about investigating employees Plan carefully to minimise riskbe su Given increasing globalisation, multinational companies are facing new levels of risk.

More information

Directors remuneration

Directors remuneration Briefing A review of the Government s June 2012 proposals for a binding shareholder vote on directors pay and new pay disclosures Summary This briefing looks at the detailed proposals for the new regime

More information

A summary of the law on: Unfair Dismissal and Redundancy

A summary of the law on: Unfair Dismissal and Redundancy A summary of the law on: Unfair Dismissal and Redundancy Employees are protected under the Employment Rights (Northern Ireland) Order 1996 from being unfairly dismissed or chosen unfairly for redundancy.

More information

Employment Law Guide

Employment Law Guide Employment Law Guide Settlement Agreements (Formally known as Compromise Agreements) See the separate guide. Unfair Dismissal Length of employment Employees can only bring a claim for ordinary unfair dismissal

More information

Employee pension rights after a TUPE transfer

Employee pension rights after a TUPE transfer Employee pension rights after a TUPE transfer June 2006 Contents Introduction History of TUPE and pensions Public sector contracts The Pensions Act 2004 The general principles Pension obligations on TUPE

More information

THE TRANSFER OF UNDERTAKINGS (PROTECTION OF EMPLOYMENT) REGULATIONS 2006

THE TRANSFER OF UNDERTAKINGS (PROTECTION OF EMPLOYMENT) REGULATIONS 2006 THE TRANSFER OF UNDERTAKINGS (PROTECTION OF EMPLOYMENT) REGULATIONS 2006 EMPLOYMENT BACKGROUND What is TUPE? TUPE stands for the Transfer of Undertakings (Protection of Employment) Regulations. TUPE has

More information

CMS Guide to Employment. CMS_LawTax_CMYK_28-100.eps. Issues in an M & A Transaction

CMS Guide to Employment. CMS_LawTax_CMYK_28-100.eps. Issues in an M & A Transaction CMS Guide to Employment CMS_LawTax_CMYK_28-100.eps Issues in an M & A Transaction July 2014 CMS Guide to Employment Issues in an M & A Transaction Index Introduction 4 Austria 6 Belgium 10 Bulgaria 16

More information

Spotlight on defined contribution pension schemes

Spotlight on defined contribution pension schemes OFT report The Pensions Regulator s Code of Practice The OCERP Spotlight on defined contribution pension schemes The OFT is empowered to conduct investigations into the workings of markets in the UK. The

More information

TUPE : The Transfer of Undertakings (Protection of Employment Regulations) 2006 A Brief Guide

TUPE : The Transfer of Undertakings (Protection of Employment Regulations) 2006 A Brief Guide TUPE : The Transfer of Undertakings (Protection of Employment Regulations) 2006 A Brief Guide The following is intended to provide a brief introduction to the subject of TUPE. It explains some of the key

More information

Buying a business in Europe: understanding the employment issues and how to ensure a smooth acquisition. 9 June 2015

Buying a business in Europe: understanding the employment issues and how to ensure a smooth acquisition. 9 June 2015 Buying a business in Europe: understanding the employment issues and how to ensure a smooth acquisition 9 June 2015 1 Agenda The impact of the Acquired Rights Directive on the purchase of a business How

More information

New EU rules on bankers pay (including the bonus cap)

New EU rules on bankers pay (including the bonus cap) Briefing New EU rules on bankers pay (including the bonus cap) Summary On 16 April 2013, the European Parliament approved the text of CRD 4, which will, among other things, impose a cap on bankers bonuses.

More information

Mexico. Rodolfo Trampe, Jorge Díaz, José Palomar and Carlos López. Von Wobeser y Sierra, S.C.

Mexico. Rodolfo Trampe, Jorge Díaz, José Palomar and Carlos López. Von Wobeser y Sierra, S.C. Mexico Rodolfo Trampe, Jorge Díaz, José Palomar and Carlos López Market overview 1 What kinds of outsourcing take place in your jurisdiction? In Mexico, a subcontracting regime (understood as the regime

More information

Unfair Dismissal Overview Definitions What is a dismissal? Constructive Dismissal not What is unfair dismissal? unfairly dismissed

Unfair Dismissal Overview Definitions What is a dismissal? Constructive Dismissal not What is unfair dismissal? unfairly dismissed Unfair Dismissal Overview This module contains information on the new unfair dismissal laws and covers off the following matters: Definitions surrounding unfair dismissal The Small Business Fair Dismissal

More information

Christian Bayart, Ilse Bosmans & Pieter De Koster * * Part of this chapter was co-written by Caroline Deiteren.

Christian Bayart, Ilse Bosmans & Pieter De Koster * * Part of this chapter was co-written by Caroline Deiteren. Chapter 10 Employment Issues General Christian Bayart, Ilse Bosmans & Pieter De Koster * 1 INTRODUCTION This chapter examines the employment law issues that should be considered in an outsourcing transaction.

More information

Employee Rights. Everything you need to know

Employee Rights. Everything you need to know Employee Rights Everything you need to know If you have a complaint about any element of your work, then you must obtain urgent legal advice. The best way to obtain advice is to contact us immediately.

More information

Practical guide... termination of employment

Practical guide... termination of employment The decision to dismiss an employee is an area of the employment relationship that requires an understanding of a wide range of legislative and other obligations of an employer. The decision is also a

More information

The Securities Financing Transactions Regulation

The Securities Financing Transactions Regulation The Securities Financing Transactions Regulation Introduction Key requirements Scope Reuse requirements UCITS and AIF disclosure requirements Consequences of noncompliance Implementation timetable Introduction

More information

COMPENSATION UPON TERMINATION OF APPOINTMENTS OF DIRECTORS AND SENIOR EXECUTIVES

COMPENSATION UPON TERMINATION OF APPOINTMENTS OF DIRECTORS AND SENIOR EXECUTIVES COMPENSATION UPON TERMINATION OF APPOINTMENTS OF DIRECTORS AND SENIOR EXECUTIVES DIRECTORS ADVISORY SERVICE FACTSHEET These Guidance Notes provide an outline of the relevant provisions, but they are not

More information

AND REDUNDANCY. Summary of the law on

AND REDUNDANCY. Summary of the law on Summary of the law on UNFAIR DISMISSAL AND REDUNDANCY Workers are protected under the Employment Rights Act 1996 from being sacked or chosen unfairly for redundancy. This booklet provides a basic outline

More information

LEGAL UPDATES AND FACTSHEETS

LEGAL UPDATES AND FACTSHEETS LEGAL UPDATES AND FACTSHEETS TRANSFER OF UNDERTAKINGS (TUPE) PREFACE: TUPE 1981: This factsheet looks at the law surrounding the transfer of undertakings, established by The Transfer of Undertakings (Protection

More information

Insurance and reinsurance news

Insurance and reinsurance news Insurance and reinsurance news Insurance Mediation Directive 2 what it means for you Summary On 3 July 2012 the European Commission adopted a proposal to revise the Insurance Mediation Directive (IMD2)

More information

Accident Compensation Act

Accident Compensation Act Accident Compensation Act Changes to the Accident Compensation Act 1985 explained Edition No. 1 March 2010 Contents Introduction 1 Overview of changes 2 Key changes Workers entitlement to compensation

More information

Drafting and enforcing non-compete agreements in the European Union: the examples of France, Germany and Italy

Drafting and enforcing non-compete agreements in the European Union: the examples of France, Germany and Italy Drafting and enforcing non-compete agreements in the European Union: the examples of France, Germany and Italy Yasmine Tarasewicz Partner June 17, 2010 1 Introduction Non-competition in the relations between

More information

The Little Book of UK Employment Law for US Employers. Handling dismissals in the UK

The Little Book of UK Employment Law for US Employers. Handling dismissals in the UK The Little Book of UK Employment Law for US Employers Handling dismissals in the UK Two countries separated by a common language. (George Bernard Shaw) Welcome 2 Employment contracts: anti at will! 4 But

More information

TUPE 2006 Detailed Analysis

TUPE 2006 Detailed Analysis that activity is central or ancillary. Under existing case law this can include an organised group of one person! TUPE 2006 Detailed Analysis The TUPE 2006 Regulations completely replace the 1981 Regulations

More information

A Guide to Settlement Agreements

A Guide to Settlement Agreements A Guide to Settlement Agreements Please contact us to discuss your Settlement Agreement in more detail. Whether you are an Employer or an Employee we shall be delighted to help with your Settlement Agreement.

More information

John Evason, Monica Kurnatowska and Daniel Ellis Partners, Collective Rights Group

John Evason, Monica Kurnatowska and Daniel Ellis Partners, Collective Rights Group Employment Focus on Redundancy London August 2008 Contents What is Redundancy?.........................2 Individual Consultation........................3 Collective Consultation........................4

More information

http://www.pcpd.org.hk/english/publications/files/gn_insurance_e.pdf

http://www.pcpd.org.hk/english/publications/files/gn_insurance_e.pdf Briefing Data privacy regulation: Spotlight on Hong Kong insurers Summary Two recent regulatory initiatives will place the Hong Kong insurance industry s use and handling of personal data under greater

More information

HR & OD POLICIES. TUPE Manager Q&A

HR & OD POLICIES. TUPE Manager Q&A Q. What constitutes a transfer of undertaking under the Transfer of Undertaking (Protection of Employment) Regulations 2006 ()? A. As a general guide, a transfer is said to have taken place when the whole

More information

Employment law changes for 2014 what do they mean for your business?

Employment law changes for 2014 what do they mean for your business? Employment law changes for 2014 what do they mean for your business? Employment law has constantly changed and evolved over the last number of years. This year marks a number of further changes including

More information

Finance Act 2013: changes to HMRC

Finance Act 2013: changes to HMRC Key changes Other changes Finance Act 2013: Action required changes to HMRC Summary The Finance Act 2013 (FA13) has made a number of amendments to the legislation regulating HMRC, ie the Sharesave (SAYE),

More information

Employment Law Practice Group

Employment Law Practice Group Employment Law Practice Group BELGIUM BEIUS Koningsstraat 15 rue Royale - 1000 Brussels, Belgium Managing Partner: Mr. Daniël Van der Mosen daniel.vandermosen@beius.be Employment Law Contact: Mr. Koen

More information

Employment in Poland 2012

Employment in Poland 2012 BRIEFING NOTE Employment in Poland 2012 1. Employment Cost 2. Legal System 3. Employer s obligations 4. Types of employment contract 5. Working time 6. Holiday 7. Sick pay 8. Parenthood rights 9. Mass

More information

Employment law solicitors

Employment law solicitors Employment law solicitors At Millbank solicitors we are dedicated to providing prompt and practical employment advice to both employers and employees. Our expert lawyers appreciate and understand the ever

More information

TUPE. Due. Diligence. suitable. This Due. levels of NCVO. it should

TUPE. Due. Diligence. suitable. This Due. levels of NCVO. it should TUPE Due Diligence Checklist August 2012, NCVO http://www.ncvo-vol.org.uk/psd/commissioning/tupe This Due Diligence checklist is for use by voluntary, community and social enterprise organisations conducting

More information

Labour Law in Denmark

Labour Law in Denmark Labour Law in Denmark 2 Labour Law in Denmark Labour Law in Denmark The Danish labour market is in many ways significantly different from what you may have experienced in other jurisdictions. If you have

More information

Legal Masterclass: TUPE and Pensions

Legal Masterclass: TUPE and Pensions Legal Masterclass: TUPE and Pensions February 2014 Rhian Brace Partner, Employment What we are going to cover Introduction and Context TUPE Overview Contractual Issues and Due Diligence Pensions Transforming

More information

Varying a contract of employment

Varying a contract of employment Varying a contract of employment We inform, advise, train and work with you Every year Acas helps employers and employees from thousands of workplaces. That means we keep right up-to-date with today s

More information

Long Term Incentive Plans and Deferred Bonus Plans

Long Term Incentive Plans and Deferred Bonus Plans Long Term Incentive Plans and Deferred Bonus Plans Introduction Long Term Incentive Plans (LTIPs) (also sometimes referred to as "Performance Share Plans") are the most popular form of long term share

More information

Dealing with disputes at work

Dealing with disputes at work Factsheet 70 November 2013 About this factsheet This factsheet is aimed at older people who are in work and covers information on dealing with a dispute with an employer, including taking legal action.

More information

Acquired Rights Directive: A Practical Approach for Navigating European HR Laws

Acquired Rights Directive: A Practical Approach for Navigating European HR Laws 0 Acquired Rights Directive: A Practical Approach for Navigating European HR Laws Duncan Aitchison Sarah Seabury Jon Lightman 7 December 2006 Copyright 2006, Technology Partners Copyright International,

More information

Pensions. Briefing. Summary. May 2012

Pensions. Briefing. Summary. May 2012 Pensions FINANCIAL INSTITUTIONS ENERGY INFRASTRUCTURE, MINING AND COMMODITIES TRANSPORT TECHNOLOGY AND INNOVATION PHARMACEUTICALS AND LIFE SCIENCES Briefing May 2012 High Court considers scope of transferring

More information

The EC3\Legal Guide to TUPE

The EC3\Legal Guide to TUPE The EC3\Legal Guide to TUPE Overview and the 2014 Regulations Marina Garston Legal Director +44 (0)203 553 4879 marina@ec3legal.com This guide focuses on the main provisions of TUPE and takes into account

More information

Management liability - Employment practices liability Policy wording

Management liability - Employment practices liability Policy wording Special definitions for this section Benefits Claim Defence costs The General terms and conditions and the following terms and conditions all apply to this section. Any compensation awarded to an employee

More information

L'UNION INTERNATIONALE DES AVOCATS TRADE UNIONS/WORKS COUNCILS AND TRANSFERS OF UNDERTAKING SOME UK PERSPECTIVES

L'UNION INTERNATIONALE DES AVOCATS TRADE UNIONS/WORKS COUNCILS AND TRANSFERS OF UNDERTAKING SOME UK PERSPECTIVES L'UNION INTERNATIONALE DES AVOCATS TRADE UNIONS/WORKS COUNCILS AND TRANSFERS OF UNDERTAKING SOME UK PERSPECTIVES This short paper is in two parts. The first part provides a brief description of the consultation

More information

DENTAL ACCESS PROGRAMME GUIDE TO THE USE OF SCHEDULE 18 (STAFF TRANSFER) AND TUPE TRANSFERS UNDER THE PDS PLUS AGREEMENT

DENTAL ACCESS PROGRAMME GUIDE TO THE USE OF SCHEDULE 18 (STAFF TRANSFER) AND TUPE TRANSFERS UNDER THE PDS PLUS AGREEMENT DENTAL ACCESS PROGRAMME GUIDE TO THE USE OF SCHEDULE 18 (STAFF TRANSFER) AND TUPE TRANSFERS UNDER THE PDS PLUS AGREEMENT Beachcroft LLP 7 Park Square East Leeds LS1 2LW UK tel: +44 (0) 113 251 4700 fax:

More information

Companies Act 2006. Capital reductions and share buybacks. April 2008

Companies Act 2006. Capital reductions and share buybacks. April 2008 Companies Act 2006 Capital reductions and share buybacks April 2008 Introduction Under the Companies Act 2006, private companies will from 1 October 2008 be able to make a reduction of capital without

More information

Unfair Dismissals. Questions & Answers

Unfair Dismissals. Questions & Answers Unfair Dismissals Questions & Answers What is unfair dismissal? Unfair dismissal is where an employee claims that his or her employer s decision to terminate their employment was unfair. Unfair reasons

More information

Summary of the law on UNFAIR DISMISSAL AND REDUNDANCY

Summary of the law on UNFAIR DISMISSAL AND REDUNDANCY Summary of the law on UNFAIR DISMISSAL AND REDUNDANCY Workers are protected under the Employment Rights Act 1996 from being sacked or chosen unfairly for redundancy. All employees can bring a claim of

More information

EU Employment Law Euro Info Centre December 2006

EU Employment Law Euro Info Centre December 2006 EU Employment Law Euro Info Centre December 2006 CONTENTS EU Employment Law 2 1. Anti-discrimination 2 2 2 2. Equal treatment of men and women in the workplace 3 3 3 3. Fixed and part time work including

More information

STRUCTURING A BUSINESS AS A LIMITED LIABILITY PARTNERSHIP (LLP)

STRUCTURING A BUSINESS AS A LIMITED LIABILITY PARTNERSHIP (LLP) STRUCTURING A BUSINESS AS A LIMITED LIABILITY PARTNERSHIP (LLP) CORPORATE LAW INTRODUCTION Partnerships have been used for many years as flexible business vehicles for enterprises, especially where they

More information

Employment Law in Bermuda

Employment Law in Bermuda Employment Law in Bermuda Foreword This memorandum has been prepared for the assistance of those who are considering issues pertaining to employment law in Bermuda. It deals in broad terms with the requirements

More information

Examining the 10 most common employment law myths. Newsletter 4 February 4 th 2015. www.fb-education.co.uk 01332 227596

Examining the 10 most common employment law myths. Newsletter 4 February 4 th 2015. www.fb-education.co.uk 01332 227596 Examining the 10 most common employment law myths Newsletter 4 February 4 th 2015 www.fb-education.co.uk 01332 227596 10 most common employment law myths By Andrew Nicklin Employment Solicitor for Education

More information

Equity Incentive Plans Extending US- and UK-based Plans Across the Pond

Equity Incentive Plans Extending US- and UK-based Plans Across the Pond Equity Incentive Plans Extending US- and UK-based Plans Across the Pond Andrew Stanger Partner +44 20 3130 3934 astanger@mayerbrown.com James C. Williams Partner +1 312 701 8139 jcwilliams@mayerbrown.com

More information

Services & Teams. Our Employment Service

Services & Teams. Our Employment Service Services & Teams Our Employment Service Employment Law Team Blandy & Blandy s specialist Employment law team provides a comprehensive service tailored to our clients individual needs. The team prides itself

More information

ST IVES PLC ST IVES LONG TERM INCENTIVE PLAN 2010. Approved by shareholders of the Company on. Adopted by the board of the Company on

ST IVES PLC ST IVES LONG TERM INCENTIVE PLAN 2010. Approved by shareholders of the Company on. Adopted by the board of the Company on DISPLAY VERSION ST IVES PLC ST IVES LONG TERM INCENTIVE PLAN 2010 Approved by shareholders of the Company on Adopted by the board of the Company on The Plan is a discretionary benefit offered by St Ives

More information

Our Ref: JM/JB/4.7 June 16 th 2015

Our Ref: JM/JB/4.7 June 16 th 2015 Email: Annuity.Consultation2015@hmtreasury.gsi.gov.uk Annuity Consultation Insurance and UK Regulatory Authorities Team HM Treasury Horse Guards Road London SW1A Our Ref: JM/JB/4.7 June 16 th 2015 Dear

More information

TUPE AND OUTSOURCING. Louise McCartney Charity Sector Procurement Group 15 th June 2011

TUPE AND OUTSOURCING. Louise McCartney Charity Sector Procurement Group 15 th June 2011 TUPE AND OUTSOURCING Louise McCartney Charity Sector Procurement Group 15 th June 2011 Bates Wells & Braithwaite 2009 Transfer of Undertakings (Protection of Employment Regulations) 2006 What is TUPE?

More information

TUPE Regulations Staff contracts when you buy or sell a practice Advice Note 20

TUPE Regulations Staff contracts when you buy or sell a practice Advice Note 20 Advice TUPE Regulations Staff contracts when you buy or sell a practice Advice Note 20 The Transfer of Undertakings (Protection of Employment) Regulations 2006 (known as TUPE ) provide legal protection

More information

The Cloud and Cross-Border Risks - Singapore

The Cloud and Cross-Border Risks - Singapore The Cloud and Cross-Border Risks - Singapore February 2011 What is the objective of the paper? Macquarie Telecom has commissioned this paper by international law firm Freshfields Bruckhaus Deringer in

More information

THE NUTS AND BOLTS OF EMPLOYMENT AGREEMENTS FOR FOREIGN EMPLOYEES WORKING OUTSIDE THE UNITED STATES

THE NUTS AND BOLTS OF EMPLOYMENT AGREEMENTS FOR FOREIGN EMPLOYEES WORKING OUTSIDE THE UNITED STATES ABA Section of Labor and Employment Law 5 th Annual Labor and Employment Law Conference Seattle, Washington November 2 5, 2011 THE NUTS AND BOLTS OF EMPLOYMENT AGREEMENTS FOR FOREIGN EMPLOYEES WORKING

More information

Employment Law e-alert December 2012

Employment Law e-alert December 2012 Employment Law e-alert December 2012 Welcome Welcome to December s e-alert. Following on from last month s e-alert on the topic of constructive dismissal, this month s Q&A takes a look at the area of unfair

More information

A Guide to Understanding Group Risk Insurance

A Guide to Understanding Group Risk Insurance A Guide to Understanding Group Risk Insurance This guide has been produced by Group Risk Development (GRiD) with the support of the Chartered Institute of Procurement and Supply (CIPS). CIPS members can

More information

Redundancy. A Guide. 4500 Lawyers 87 Firms 57 Countries TOP RANKED CHAMBERS GLOBAL 2013. Leading Law Firm Network

Redundancy. A Guide. 4500 Lawyers 87 Firms 57 Countries TOP RANKED CHAMBERS GLOBAL 2013. Leading Law Firm Network Redundancy A Guide TOP RANKED CHAMBERS GLOBAL 2013 Leading Law Firm Network 4500 Lawyers 87 Firms 57 Countries INTRODUCTION The decision to make employees redundant is never one that is taken lightly.

More information

Feasibility Study for a EU Pension Fund for Researchers. European Commission Research Directorate-General

Feasibility Study for a EU Pension Fund for Researchers. European Commission Research Directorate-General Feasibility Study for a EU Pension Fund for Researchers European Commission Research Directorate-General Executive Summary n RTD/DirC/C4/2009/026879 1 Executive Summary This report covers the main results

More information

CORPORATE MEMBERS OF LIMITED LIABILITY PARTNERSHIPS

CORPORATE MEMBERS OF LIMITED LIABILITY PARTNERSHIPS 1. INTRODUCTION CORPORATE MEMBERS OF LIMITED LIABILITY PARTNERSHIPS 1.1 This note, prepared on behalf of the Company Law Committee of the City of London Law Society ( CLLS ), relates to BIS request for

More information

If you are unclear about the implications of Auto Enrolment you will find our Guide to Auto Enrolment a good starting point.

If you are unclear about the implications of Auto Enrolment you will find our Guide to Auto Enrolment a good starting point. The Pay Check Auto Enrolment Service A service designed for Pay Check clients who are looking for a first class pension solution that is simple to administer, cost effective and guarantees full compliance

More information

Your settlement agreement - the key issues

Your settlement agreement - the key issues www.settlement-agreement.org Your rights Settlement agreements are agreements governed by employment law statutes applicable in the UK. The legal system is designed to protect you from signing away valuable

More information

Legal and practical issues dealing with Agents in the UK from the perspective of a Dutch Principal

Legal and practical issues dealing with Agents in the UK from the perspective of a Dutch Principal Legal and practical issues dealing with Agents in the UK from the perspective of a Dutch Principal What is an agent? For these purposes considering only a "Commercial Agent". "a Commercial Agent is a self-employed

More information

osborneclarke.com A Guide to Equity Plans For international companies with UK operations

osborneclarke.com A Guide to Equity Plans For international companies with UK operations A Guide to Equity Plans For international companies with UK operations Introduction This paper is designed to provide an insight into the main types of share plans available in the UK and practical guidance

More information

An introduction to Luxembourg Employment Law

An introduction to Luxembourg Employment Law An introduction to Luxembourg Employment Law The Luxembourg market is characterized by the major role played by the frontier workers (Belgian, French and German) who form more than 50% of the labour force

More information

A global guide to restrictive covenants

A global guide to restrictive covenants A global guide to restrictive covenants EMEA Introduction There are few areas of employment law which differ as significantly between countries as the laws relating to posttermination restrictions. The

More information

www.landaulaw.co.uk 020 7100 5256

www.landaulaw.co.uk 020 7100 5256 Philip Landau Employment lawyer at Landau Law Solicitors Tax and tax indemnity The general guideline is that first 30k of the severance payment can be free from deductions of tax and NI where the settlement

More information

RESOLVING DISPUTES AT WORK: New procedures for discipline and grievances A GUIDE FOR EMPLOYEES

RESOLVING DISPUTES AT WORK: New procedures for discipline and grievances A GUIDE FOR EMPLOYEES RESOLVING DISPUTES AT WORK: New procedures for discipline and grievances A GUIDE FOR EMPLOYEES This guide tells you about new rights and procedures you must follow if you have a grievance in work are facing

More information

Fair Deal for staff pensions: staff transfer from central government

Fair Deal for staff pensions: staff transfer from central government Fair Deal for staff pensions: staff transfer from central government October 2013 Fair Deal for staff pensions: staff transfer from central government October 2013 Crown copyright 2013 You may re-use

More information

Termination of employment legislation digest

Termination of employment legislation digest Please note that this country profile might not reflect the current state of the law on termination of employment. For updated information, you are invited to consult the EPLex database. Termination of

More information

Memorandum. General Overview Employment Law/ United Arab Emirates

Memorandum. General Overview Employment Law/ United Arab Emirates Memorandum General Overview Employment Law/ United Arab Emirates 1. General 1. Brief Introduction Employment relationships in the private sector in the UAE are subject to UAE Federal Law No 8 of 1980 on

More information

TUPE - The Latest. special reports

TUPE - The Latest. special reports What if employees don t want to transfer? An employee has the fundamental freedom to choose their employer. Therefore, on notification of the proposed transfer, an employee has the right not to transfer

More information

Current Funding Issues for Defined Benefit Pension Schemes

Current Funding Issues for Defined Benefit Pension Schemes Current Funding Issues for Defined Benefit Pension Schemes Introduction 1. According to the latest figures published by the Pensions Board, approximately 232,000 employees, or 33% of the total membership

More information

Multi-employer withdrawal arrangements

Multi-employer withdrawal arrangements Multi-employer withdrawal arrangements Guidance from the Pensions Regulator November 2005 as they existed before 6 April 2008. 1 Contents About this guidance...3 Introduction...4 Proposing a withdrawal

More information

Freshfields Bruckhaus Deringer Changes to unfair trade practices law in Hong Kong. Summary

Freshfields Bruckhaus Deringer Changes to unfair trade practices law in Hong Kong. Summary Briefing Changes to unfair trade practices law in Hong Kong Summary Amendments to the Hong Kong Trade Descriptions Ordinance will come into force on 19. The changes broaden the application of the law to

More information

PROTECTED DISCLOSURES ACT 26 OF 2000

PROTECTED DISCLOSURES ACT 26 OF 2000 Page 1 of 7 PROTECTED DISCLOSURES ACT 26 OF 2000 [ASSENTED TO 1 AUGUST 2000] [DATE OF COMMENCEMENT: 16 FEBRUARY 2001] (English text signed by the President) ACT To make provision for procedures in terms

More information

Derbyshire Constabulary REORGANISATION, REDUNDANCY AND REDEPLOYMENT POLICY POLICY REFERENCE 05/001. This policy is suitable for Public Disclosure

Derbyshire Constabulary REORGANISATION, REDUNDANCY AND REDEPLOYMENT POLICY POLICY REFERENCE 05/001. This policy is suitable for Public Disclosure Derbyshire Constabulary REORGANISATION, REDUNDANCY AND REDEPLOYMENT POLICY POLICY REFERENCE 05/001 This policy is suitable for Public Disclosure Owner of Doc: Head of Department, Human Resources Date Approved:

More information

AGE position on financial inclusion: age limits in access to financial products

AGE position on financial inclusion: age limits in access to financial products 23 May 2008 AGE position on financial inclusion: age limits in access to financial products Most cases of exclusion from access to financial products reported by our members and experts relate to age limits

More information

Business Transfers Across Europe. Employment (Europe)

Business Transfers Across Europe. Employment (Europe) Business Transfers Across Europe Employment (Europe) Contents Introduction Transfers in France 1 Transfers in Germany 5 Transfers in Italy 9 Transfers in Spain 12 Transfers in The Netherlands 15 Transfers

More information

NEW STATUTORY DISMISSAL, DISCIPLINARY AND GRIEVANCE PROCEDURES

NEW STATUTORY DISMISSAL, DISCIPLINARY AND GRIEVANCE PROCEDURES September 2004 NEW STATUTORY DISMISSAL, DISCIPLINARY AND GRIEVANCE PROCEDURES With effect from 1 October 2004, new statutory dismissal and disciplinary procedures ("DDP") and grievance procedures ("GP")

More information

A new shape of lawyer. Guide to redundancy law

A new shape of lawyer. Guide to redundancy law A new shape of lawyer Guide to redundancy law The prospect of having to deal with redundancy situations can be daunting for both employers and employees. The law provides employees with a number of rights

More information

MAYFIELD SCHOOL. Author: Torbay Human Resources [April 2011] Renewed 9 th November 2015

MAYFIELD SCHOOL. Author: Torbay Human Resources [April 2011] Renewed 9 th November 2015 MAYFIELD SCHOOL Policy: TUPE Guidelines for Managers Author: Torbay Human Resources [April 2011] Governors Committee: Leadership Date adopted: 23 rd May 2011 Renewed 9 th November 2015 Next review: Autumn

More information

MiFID 2: investor protection

MiFID 2: investor protection Eligible counterparties Client classification Algorithmic trading Product governance Suitability and appropriateness MiFID 2: investor protection Independent advice Inducements Product intervention Summary

More information

Insurance Prudential Rules. ICR Intermediary Conduct. Non-Bank Financial Institutions Regulatory Authority

Insurance Prudential Rules. ICR Intermediary Conduct. Non-Bank Financial Institutions Regulatory Authority Insurance Prudential Rules Intermediary Conduct Non-Bank Financial Institutions Regulatory Authority January 2014 Contents 1. Introduction... 3 1.1. Insurance Prudential Rules... 3 1.2. Purpose... 3 2.

More information

Banking and financial services outsourcing in Asia: the legal and regulatory essentials

Banking and financial services outsourcing in Asia: the legal and regulatory essentials Briefing Banking and financial services outsourcing in Asia: the legal and regulatory essentials Summary Asia s banking and financial services sector is increasingly looking to outsourcing and offshoring

More information

Guides & Advice. Our Employment Service

Guides & Advice. Our Employment Service Guides & Advice Our Employment Service Our Employment Team With a strong reputation in the region our Employment team provides expert advice to organisations and individuals on all aspects of the employment

More information

Model Policy. Disability Leave. matters

Model Policy. Disability Leave. matters Model Policy Disability Leave matters Introduction Decades after the enactment of the 1995 Disability Discrimination Act and years after the Equality Act 2010 came into law, ignorance of the law pertaining

More information

Code of Conduct. Version 3, November 2009 BSCI 2.3-11/09

Code of Conduct. Version 3, November 2009 BSCI 2.3-11/09 Code of Conduct Version 3, November 2009 BSCI 2.3-11/09 All rights reserved. No part of this publication may be reproduced, translated, stored in a retrieval system, or transmitted, in any form or by any

More information

European Union Law and Online Gambling by Marcos Charif

European Union Law and Online Gambling by Marcos Charif With infringement proceedings, rulings by the European Court of Justice (ECJ) and the ongoing lack of online gambling regulation at EU level, it is important to understand the extent to which member states

More information

NORWAY Prepared by Hans Rugset Braekhus Dege Advokatfirma ANS

NORWAY Prepared by Hans Rugset Braekhus Dege Advokatfirma ANS NORWAY Prepared by Hans Rugset Braekhus Dege Advokatfirma ANS 1. Are there any laws that govern a layoff of employees? If so, what do the laws require? In Norway, we have the Employment Act from 2005 which

More information

2011 ANNUAL ABA MEETING LABOR AND EMPLOYMENT LAW SECTION ENSURING REAL WIN-WIN CROSS-BORDER MERGERS AND ACQUISITIONS: PENSION & BENEFIT ISSUES

2011 ANNUAL ABA MEETING LABOR AND EMPLOYMENT LAW SECTION ENSURING REAL WIN-WIN CROSS-BORDER MERGERS AND ACQUISITIONS: PENSION & BENEFIT ISSUES 2011 ANNUAL ABA MEETING LABOR AND EMPLOYMENT LAW SECTION ENSURING REAL WIN-WIN CROSS-BORDER MERGERS AND ACQUISITIONS: PENSION & BENEFIT ISSUES donna.walwyn@bakermckenzie.com I. GENERAL THRESHOLD ISSUES

More information