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RCO Support Services Ltd v Unison

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RCO Support Services v Unison
CourtCourt of Appeal
Citation EWCA Civ 464
Keywords
Transfer of undertakings

RCO Support Services v Unison EWCA Civ 464 is a UK labour law case concerning transfers of undertakings, and the job security rights of employees.

Facts

Patient services of the Walton branch of Aintree Hospitals NHS Trust were transferred to two wards in Fazakerley. Cleaners, through ‘Initial Hospital Services’, had refused to take jobs, on worse terms, with RCO doing the same thing. RCO won the contract, partly, by giving an assurance that TUPE would not apply. RCO relied heavily on Süzen, and argued that if neither assets nor workforce were transferred, there could be no TUPE application. Unison argued Süzen favoured its position.

The EAT noted that it was not sorry to conclude that the Tribunal was correct to hold there was a transfer of an entity which retained its identity. Were it otherwise, new contractors could simply avoid TUPE by not hiring any of the old sacked workers.

Judgment

Mummery LJ noted that RCO relied on Paul Davies’ discussion of the ‘checkered history’ of the background to the Süzen decision. He agreed, all the circumstances should be taken into account. He agreed with RCO's submission that subjective motive is not a real issue. But the offer by RCO to the workers to resign from Initial and join them could be considered.

See also

Transfer of undertaking sources
Transfers of Undertakings Directive 2001/23/EC arts 3-4
Transfer of Undertakings (Protection of Emp) Regs 2006 r 7
Litster v Forth Dry Dock UKHL 10
Wilson v St Helens BC UKHL 37
TUD 2001 art 5 and TUPER 2006 r 4
Credit Suisse Ltd v Lister EWCA Civ 1551
University of Oxford v Humphreys EWCA Civ 3050
TUD 2001 arts 3(3) and TUPER 2006 r 5
Parkwood Leisure Ltd v Alemo-Herron (2013) C-426/11
TUD 2001 arts 1 and TUPER 2006 r 3
Spijkers v Gebroeders Benedik Abattoir CV (1986) C-24/85
Süzen v Zehnacker Gebaeudereingung GmbH (1997) C-13/95
Oy Liikenne Ab v Liskojärvi (2001) C-172/99
RCO Support Services v Unison EWCA Civ 464
TUD 2001 art 5 and TUPER 2006 r 8
SS for Trade and Industry v Slater IRLR 928 (EAT)
Oakland v Wellswood (Yorkshire) Ltd EWCA Civ 1094
see UK labour law and business transfers

Notes

  1. para 20

External links

For the full case see http://www.bailii.org/ew/cases/EWCA/Civ/2002/464.html

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