Termination of the FM contract

If an outsourcing contract is truly for a fixed period, we need to think about what will happen as the term draws to a close

Will we be locked into a single supplier forever?

Consider the termination clauses right from the start

Organisations typically don't start the re-negotiation process early enough, and end up having to renew with the existing supplier

It's in the existing supplier's interest to slow down this process in order to retain the contract

(Harrington, 1998)

Employee rights on subsequent transfer

TUPE applies to all subsequent transfers

The Süzen case applies here too

In practice, some FM companies promise their new staff a new career when they join. They ensure the FM contract permits staff to remain with them if the contract is moved on.

Thought for the week


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