Celtec (Social policy) [2005] EUECJ C-478/03 (26 May 2005)

Celtec (Social policy) [2005] EUECJ C-478/03 (26 May 2005)

Article 3(1) of Directive 77/187/EEC must be interpreted as meaning that the date of a transfer is the date on which responsibility as employer for carrying on the business of the unit transferred moves from the transferor to the transferee. Contracts of employment or employment relationships existing on that date are deemed to be handed over, regardless of any agreement to the contrary between the parties.

Citation
[2005] EUECJ C-478/03
Parties
Appellant: Celtec Ltd; Respondent: Mr Astley; Respondent: Ms Owens; Respondent: Ms Hawkes
Jurisdiction
European Union
Judgment Date
26 May 2005
Procedural Posture
Preliminary Ruling (reference for Interpretation) / Judgment of the Court of Justice of the European Union (first Chamber)
Outcome
Questions answered; interpretation of Article 3(1) of Directive 77/187/EEC provided.
Legal Topics
Transfer of Undertakings, Employee Rights, Continuous Employment, Interpretation of Directive 77/187/eec
Labour Law European Union Law Transfer of Undertakings Employee Rights Continuous Employment Interpretation of Directive 77/187/eec

Case Brief

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Parties

Celtec Ltd

Appellant

Mr Astley

Respondent

Ms Owens

Respondent

Ms Hawkes

Respondent

Procedural Posture

Preliminary Ruling (reference for Interpretation) / Judgment of the Court of Justice of the European Union (first Chamber)

Legal Issues

  1. 1 Whether Article 3(1) of Directive 77/187/EEC requires a specific point in time for transfer of rights and obligations to the transferee employer
  2. 2 How to determine the 'date of a transfer' under Article 3(1) of Directive 77/187/EEC

Ratio Decidendi

Article 3(1) of Directive 77/187/EEC must be interpreted as meaning that the date of a transfer is the date on which responsibility as employer for carrying on the business of the unit transferred moves from the transferor to the transferee. Contracts of employment or employment relationships existing on that date are deemed to be handed over, regardless of any agreement to the contrary between the parties.

Court Disposition

Questions answered; interpretation of Article 3(1) of Directive 77/187/EEC provided.

Orders

  • Article 3(1) of Directive 77/187/EEC is interpreted as meaning the date of transfer is when employer responsibility moves from transferor to transferee, and contracts of employment existing on that date are automatically transferred.