Cala account move from Redcell Scotland to clear kick-starts TUPE debate for the marketing industry
The marketing industry has seen one of the first examples of the controversial TUPE employment measures in practice, following the shift of Cala Homes out of Redcell Scotland and into Manchester-based Clear Marketing.
Last month the IPA responded to the threat posed to the industry by TUPE by calling for an industry wide exemption, amidst fears that the TUPE rules could wreck the dynamics of an industry worth £10billion per year to the UK economy.
The Rt Hon Peter Luff, who chairs the influential cross party Enterprise and Regulatory Reform Select Committee, said TUPE was having a “seriously adverse impact” on the profession.
However, Stephen Miller, head of the Employment Law Group at MacRoberts solicitors, said that an exemption from the law was unlikely to be granted, and the industry would have to find a way to adapt to the new TUPE rules.
“When properly understood, TUPE is a more flexible measure than some appreciate. They should not expect that someone will just switch off these important, protective measures for their industry. Instead they should do what every other industry does and learn to do business and act competitively, even with the spectre of TUPE.”
Clear’s managing director Jim Smith said: “This is a ludicrous piece of legislation, nobody wins but more importantly the staff in the losing agency can very well find themselves in a situation where the winning agency will not agree to take the transfer and the incumbent agency applies TUPE and leaves the staff therefore stranded without a job between the two parties.
“Until such time as the government is pursued to do the sensible thing and stick it in the bin we all need to be alert to the dangers that come with the success in winning a new piece of business.”