The Transfer of Undertakings (Protection of
Employment) Regulations, better known as TUPE, ensures that
employees’ terms and conditions of employment are preserved when a
business or undertaking is transferred to a new employer.
To achieve this, TUPE requires that certain
information is provided to the new employer before the transfer
takes place. This will include details of pay, contracted hours,
holiday entitlement and any details of disciplinary or grievance
action relating to that employee. The Data Protection Act does not
prevent the transfer of this information as it is a requirement by
law. However, both parties must comply with the Act when handling
the information, for example ensuring it is accurate, up-to-date
and secure.
Phil Jones, Assistant Commissioner at the ICO, said
businesses should limit the information they transfer.
“Organisations should consider their data
protection obligations early in the transfer process and only
transfer the information required by the new employer," he said.
"Additionally, if not prevented by insider trading restrictions,
employees should be told that their information is going to be
passed on.”