Any employees not wishing to transfer to the new employer should tell their employer in writing before the transfer happens.
How you should respond
You should always ask for confirmation in writing that an employee has refused to transfer, if they object or complain.
You should treat this as though they are resigning, unless you decide to offer them an alternative job at your organisation.
It's good practice to write back to the employee to:
- explain the implications of their decision not to transfer
- make sure they have all the information about the transfer before they make a final decision
If you offer an alternative job
If you offer them an alternative role and they accept, their length of service ('period of continuous employment') will continue if the new role starts before the date of the transfer.
Updating the new employer
If you've already provided the employee liability information (ELI) to the new employer, you must inform them about any employees who will no longer be transferring to their organisation.
Notice and pay for employees who resign
For any employees who've chosen to resign, you'll need to:
- confirm the notice period and agree a leaving date
- pay them any outstanding wages and holiday they've built up ('accrued') but not yet taken when their employment ends
Their employment will end on the date the transfer takes place. If the transfer happens before their notice period ends, you will not need to pay them for the remainder of their notice period.
They will not usually be entitled to:
- any additional payments such as redundancy payment
- make a potentially successful claim for constructive unfair dismissal if they object without good cause