Notice of Transfer of Employment
This Transfer of Business Offer of Employment letter may be used to notify an employee that their employment is being transferred as a result of the business being sold, or the internal restructuring of a group company.
(0 reviews)
Last updated December 17, 2024
Under 10 minutes
Suitable for Australia
Written by
Edwin Montoya Zorrilla
Reviewed by
Damin Murdock
Document Overview
This letter may be used to notify an employee that their employment is being transferred as a result of the business being sold, or the internal restructuring of a group company.
Where an employer buys or sells a business, the sale may affect the entitlements of the employees already working for that business, under the Fair Work Act 2009 (Cth) (Act). Where the transfer of business provisions under the Act do apply to a specific transaction, it is worth noting that:
- There is no obligation on employers to notify their employees of a transfer of business. However, employees should be consulted if they are going to transfer to the new employer.
- Generally, where there is a transfer of employment, service with the old employer counts as service with the new employer. However, there are certain circumstances where this does not apply. When a new employer is not an associated entity of the old employer, the new employer may decide not to recognise a transferring employees’ previous accumulated service for annual leave or redundancy payments. The old employer may therefore be obliged to pay the affected employees their accrued entitlements.
The Legal Risk Score of a Notice of Transfer of Employment Template
Our legal team have marked this document as low risk considering:
- There is a risk of misunderstanding or miscommunication due to the lack of specific dates and employer names, which are placeholders that need to be accurately filled in to ensure clarity and avoid confusion.
- The document assumes that the employee will accept the same terms and conditions without renegotiation, which might not align with the employee's expectations or new business policies.
- The immediate transition from one employer to another without a break could lead to administrative or operational oversights, impacting the employee's benefits or records continuity.
Notice of Transfer of Employment Checklist
Complete your free Notice of Transfer of Employment with our checklist
Verify Information Accuracy
Ensure that all placeholders and dates mentioned in the document are correctly filled out to reflect accurate information about the employers and the termination and commencement dates.
Employee Acknowledgment
The employee should formally accept the offer by signing the acknowledgment section to confirm their agreement to the terms and continuation of employment with the new employer.
Document Submission
Submit the signed acknowledgment back to the designated recipient by the specified deadline to ensure the transfer of employment is processed in a timely manner.
Record Keeping
Maintain copies of the signed document for both the employer's and employee's records to safeguard against any future discrepancies or legal needs.
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