A Comparative Study on the Transfer of Workplace (or Business) and Protection of Employees

Abstract

There are various regulations on the protection of employee (worker) in the situation of transfer of workplace or business in Turkish legislation. First, Article 202 of Turkish Code of Obligations (TCO) dated 2011, provides this issue in general. Furthermore Articles 428 and 429 regulate the conveyance of workplace and employment contracts. Article 6 of the Employment Act (EA) 2003, which provides the conveyance of workplace partly or fully, is based on the European Union (EU) Directive no. 2001/23/EC relating to the safeguarding of employees’ rights in the situation of transfers of undertakings, businesses or parts of undertakings or businesses (also named as Acquired Rights Directive). Finally, Article 178 of Turkish Commercial Code (TCC) 2011 regulates the transfer of employment relationships in the case of organizational changes of companies such as merger, division and conversion (restructure of companies). Among these three Acts, the provisions relating to the transfer of workplace or business are partly in compliance with each other. On the other hand, in English law, the status of the employees in the transfer of business is laid down in revised the Transfer of Undertakings- Protection of Employment (TUPE) Regulations 2006. TUPE Regulations are also based on the EU Directive 2001/23/EC. There are similarities between Turkish and English legislations concerning the rights of the employees. These similarities and differences are examined in this article. Consequently, some arguments are proposed.