By Edward Benson (auth.)

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Reg. 5(1) provides that a transfer of a business does not operate to terminate an employment contract, and that any such contracts which would, but for the Regulations, have been terminated by the transfer, will continue after the transfer as if the employees had been employed by the transferee all along. It will still be open both to the transferor and the transferee to dismiss- the only effect of Reg. 5(1) is that the transfer itself will not do so. Moreover, an employee may still claim constructive dismissal.

For example, in Cox Toner (International) Ltd v. Crook ([1981] IRLR 443) an employee delayed for about seven months before resigning, during which time there was considerable correspondence through solicitors in which the employee specifically reserved his rights arising out of his employer's breach. The EAT found he had been constructively dismissed. Termination of a contract by agreement between employer and employee is likely to defeat a constructive dismissal claim. 83(2)(c), the employee must actually resign.

Sometimes the employer concedes that the employee was dismissed, in which case the tribunal moves on to the question of whether the reason was redundancy, for which, see the next chapter. Otherwise it will be up to the employee to prove he was dismissed. 86). e. notice that the contract will terminate on a specified date. 83(2)(a), whereas a termination brought about by the employee's notice is usually not (but see 'Forced resignations' and 'Constructive dismissal' below). 23 E. Benson, A Guide to Redundancy Law © Edward Benson 1985 24 A Guide to Redundancy Law Most contracts of employment expressly provide that they may be terminated by notice, and state the length of notice required.

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