Helping a large brewery chain with employment laws

Our client, a large brewery chain decided to take advantage of the current economic climate and purchase a number of pubs within the areas where they already have existing operations. The deal was impacted by The Transfer of Undertakings (Protection of Employment) Regulations 2006. This required detailed, in-depth advice to be provided to our client on their obligations and liabilities in regards to the workforce they intended to take on. The situation was further complicated by new furlough laws which hadn’t previously been a factor.

We supported our client with a detailed due-diligence process which involved asking comprehensive questions to understand the risks and liabilities (as well as opportunities) they were taking on in acquiring a significant workforce in the climate at the time (mid-coronavirus pandemic). In particular, a detailed understanding of the risks and liabilities attached to transferring employees as a result of furlough was required.

A full due-diligence report was produced identifying significant and medium risks, and areas for improvement moving forwards. In respect of each of the risks identified, proactive solutions were put forward either in the form of practical suggestions or documentary and contractual reassurances.

Considerable discussion with the client meant we arrived at a position where both parties were happy to proceed with the division of risk and reassurance. It was identified that the employment contracts for the current workforce were out of date, so it was agreed that wider harmonisation of terms would be affected following the purchase of the business and which was entirely unrelated to the TUPE transfer.

We ensured the deal progressed on time, furlough continued to be claimed appropriately, and on-boarding of the new workforce was exceptional. Our client is now able to look forward to opening up their newly acquired pubs in the very near future.