Section 218 — Change of employer.

(1) Subject to the provisions of this section, this Chapter relates only to employment by the one employer.

(2) If a trade or business, or an undertaking (whether or not established by or under an Act), is transferred from one person to another—

(a) the period of employment of an employee in the trade or business or undertaking at the time of the transfer counts as a period of employment with the transferee, and

(b) the transfer does not break the continuity of the period of employment.

(3) If by or under an Act (whether public or local and whether passed before or after this Act) a contract of employment between any body corporate and an employee is modified and some other body corporate is substituted as the employer—

(a) the employee’s period of employment at the time when the modification takes effect counts as a period of employment with the second body corporate, and

(b) the change of employer does not break the continuity of the period of employment.

(4) If on the death of an employer the employee is taken into the employment of the personal representatives or trustees of the deceased—

(a) the employee’s period of employment at the time of the death counts as a period of employment with the employer’s personal representatives or trustees, and

(b) the death does not break the continuity of the period of employment.

(5) If there is a change in the partners, personal representatives or trustees who employ any person—

(a) the employee’s period of employment at the time of the change counts as a period of employment with the partners, personal representatives or trustees after the change, and

(b) the change does not break the continuity of the period of employment.

(6) If an employee of an employer is taken into the employment of another employer who, at the time when the employee enters the second employer’s employment, is an associated employer of the first employer—

(a) the employee’s period of employment at that time counts as a period of employment with the second employer, and

(b) the change of employer does not break the continuity of the period of employment.

(7) If an employee of the [F1 governing body] of a school maintained by a [F2 local authority] is taken into the employment of the authority or an employee of a [F2 local authority] is taken into the employment of the [F3 governing body] of a school maintained by the authority—

(a) his period of employment at the time of the change of employer counts as a period of employment with the second employer, and

(b) the change does not break the continuity of the period of employment.

(8) If a person employed in relevant employment by a health service employer is taken into relevant employment by another such employer, his period of employment at the time of the change of employer counts as a period of employment with the second employer and the change does not break the continuity of the period of employment.

(9) For the purposes of subsection (8) employment is relevant employment if it is employment of a description—

(a) in which persons are engaged while undergoing professional training which involves their being employed successively by a number of different health service employers, and

(b) which is specified in an order made by the Secretary of State.

(10) The following are health service employers for the purposes of subsections (8) and (9)—

(za) [F4 [F5 NHS England],]

(zb) [F4 [F6 an integrated care board established under section 14Z25 of the National Health Service Act 2006,]]

(b) Special Health Authorities established under [F7 section 28 of [F8 the National Health Service Act 2006] or section 22 of the National Health Service (Wales) Act 2006] ,

(c) National Health Service trusts established under [F9 [F10 the National Health Service Act 2006] or the National Health Service (Wales) Act 2006] ,

(ca) [F11 NHS foundation trusts, ]

(cb) [F12 Local Health Boards established under section 11 of the National Health Service (Wales) Act 2006,]

(cc) [F13 the National Institute for Health and Care Excellence,]

(ce) [F14 the Health Services Safety Investigations Body.]

(11) [F15 In subsection (7) “ local authority ” has the meaning given by section 579(1) of the Education Act 1996. ]

Amendment notes

1. F1 Words in s. 218(7) substituted (1.10.2002 except in relation to W. and otherwise 19.12.2002) by Education Act 2002 (c. 32), s. 215(1), Sch. 21 para. 32 (with ss. 210(8), 214(4)); S.I. 2002/2439, art. 3; S.I. 2002/3185, art. 4, Sch. Pt. 1
2. F2 Words in s. 218(7) substituted (5.5.2010) by The Local Education Authorities and Children's Services Authorities (Integration of Functions) Order 2010 (S.I. 2010/1158), art. 1, Sch. 2 para. 41(5)(a)
3. F3 Words in s. 218(7) substituted (1.10.2002 except in relation to W. and otherwise 19.12.2002) by Education Act 2002 (c. 32), s. 215(1), Sch. 21 para. 32 (with ss. 210(8), 214(4)); S.I. 2002/2439, art. 3; S.I. 2002/3185, art. 4, Sch. Pt. 1
4. F4 S. 218(10)(za)(zb) inserted (1.10.2012) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 5 para. 75(a); S.I. 2012/1831, art. 2(2)
5. F5 Words in s. 218 substituted (1.7.2022) by Health and Care Act 2022 (c. 31), s. 186(6), Sch. 1 para. 1(1)(2); S.I. 2022/734, reg. 2(a), Sch. (with regs. 13, 29, 30)
6. F6 S. 218(10)(zb) substituted (1.7.2022) by Health and Care Act 2022 (c. 31), s. 186(6), Sch. 4 para. 49; S.I. 2022/734, reg. 2(a), Sch. (with regs. 13, 29, 30)
7. F7 Words in s. 218(10)(b) substituted (1.3.2007) by National Health Service (Consequential Provisions) Act 2006 (c. 43), ss. 2, 8(2), Sch. 1 para. 180(b) (with Sch. 3 Pt. 1)
8. F8 Words in s. 218(10)(b) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 5 para. 75(c); S.I. 2013/160, art. 2(2) (with arts. 7-9)
9. F9 Words in s. 218(10)(c) substituted (1.3.2007) by National Health Service (Consequential Provisions) Act 2006 (c. 43), ss. 2, 8(2), Sch. 1 para. 180(d) (with Sch. 3 Pt. 1)
10. F10 Words in s. 218(10)(c) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 5 para. 75(e); S.I. 2013/160, art. 2(2) (with arts. 7-9)
11. F11 S. 218(10)(ca) inserted (1.4.2004 for E.W.) by Health and Social Care (Community Health and Standards) Act 2003 (c. 43), ss. 34, 199(1)(4), Sch. 4 para. 101; S.I. 2004/759, art. 2 (as amended by S.I. 2006/836 and S.I. 2007/1102)
12. F12 S. 218(10)(cb) inserted (1.4.2007) by The References to Health Authorities Order 2007 (S.I. 2007/961), art. 3, Sch. para. 27(4)
13. F13 S. 218(10)(cc) inserted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 17 para. 6(3); S.I. 2013/160, art. 2(2) (with arts. 7-9)
14. F14 S. 218(10)(ce) inserted (1.10.2023) by Health and Care Act 2022 (c. 31), s. 186(6), Sch. 15 para. 6(4); S.I. 2023/1035, reg. 2(c)
15. F15 S. 218(11) inserted (5.5.2010) by The Local Education Authorities and Children's Services Authorities (Integration of Functions) Order 2010 (S.I. 2010/1158), art. 1, Sch. 2 para. 41(5)(b)