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Directors not part of organised grouping of employees

In Edinburgh Home-Link Partnership and others v The City of Edinburgh Council and others the EAT held that the directors of a housing charity

In Edinburgh Home-Link Partnership and others v The City of Edinburgh Council and others the EAT held that the directors of a housing charity providing services to a local authority did not transfer under TUPE when the service was taken back “in-house”. The directors were engaged in strategic roles running and maintaining the transferor’s overall activities, rather than directly providing the services to the local authority. As such, they were not part of the organised grouping of employees which has as its principal purpose the carrying out of the activities concerned on behalf of the client. The judgment provides various examples of the line between those employees dedicated to the provision of services to a client, and those who are not sufficiently connected with the client to form part of the organised grouping.

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