It often happens that employees are offered a new contract with different employment terms during a takeover. Our advice is to be cautious when signing a new contract. The main rule in a takeover is that employees are transferred with retention of existing employment terms. If different terms are included in the new contract, it is wise to contact our Information and Advice Centre.
When is there a business takeover?
A takeover occurs when a business is acquired by another business. This is the case, for example, if the business is sold, leased, or rented out. A takeover is considered to have occurred if the following criteria are met:
- The transfer of the business is based on an agreement, merger, or division.
- The identity of the business being transferred (in law: economic entity, which can also be part of a company) is retained.
If these criteria are met and there is a transfer of business, then the rights and obligations of the employees transfer to the new employer. Your employment contract remains intact. Sometimes it is not entirely clear whether there is a transfer of business. In such cases, it is advisable to contact FNV hospitality.
What are my rights and obligations in a takeover?
If you enter into employment with a new employer due to the takeover, your employment contract as agreed with the old employer remains in principle applicable. This means, among other things, that:
- The provisions of the employment contract remain in force.
- The years of service with the old employer must be counted when determining the notice period.
- The CLA to which the old employer was bound transfers to the new employer.