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Section 9: Transfer of employees otherwise than under transfer scheme

Postal Services Act 2011 · 2011 c. 5View on legislation.gov.uk

Part 1: Restructuring of Royal Mail group

This section applies if an agreement between companies within subsection (3) provides for the transfer from one to the other of rights and liabilities under contracts of employment.

This section also applies if—

employees of a company within subsection (3) ("company A") are provided to another company within that subsection ("company B"),
an agreement between the companies provides for the employees to cease to be provided to company B, and
company B intends to employ the employees.

A company is within this subsection if—

it is the original holding company or a subsidiary of that company, and
it is wholly owned by the Crown.

At any time before the agreement comes into force, the Secretary of State may—

in a case within subsection (1), designate any contract of employment the rights and liabilities under which are to be transferred under the agreement, and
in a case within subsection (2), designate any employee of company A who is provided as mentioned in subsection (2)(a).

The designation may specify or describe the contracts of employment or employees.

On the coming into force of the agreement, the Transfer of Undertakings (Protection of Employment) Regulations 2006 apply in relation to—

the transfer of designated contracts of employment, and
the cessation of the provision of designated employees to company B,

whether or not the agreement would otherwise be regarded for the purposes of those regulations as giving rise to a relevant transfer.

Where by virtue of the agreement a designated employee of a company within subsection (3) ("the transferor") becomes an employee of another company within that subsection ("the transferee")—

a period of employment with the transferor is to be treated as a period of employment with the transferee, and
the transfer to the transferee is not to be treated as a break in service.

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This legislation text comes from legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. These source and reuse terms cover the legislation text, not Remedy's commentary.

Reuse reviewed 21 August 2026 under Open Government Licence v3.0.