Section 38A: Successor rights and obligations

38A. Successor rights and obligations Where an employer sells, leases, transfers or otherwise disposes of a business or where there is a business merger or a change in the name or trading name of the business – (a) any trade union which was granted recognition by the outgoing employer as the bargaining agent for workers employed in the business shall continue to be their bargaining agent; (b) any application made by a trade union for the recognition of the trade union in respect of the workers employed in the business before the date on which the 808 Acts 2019 business is sold, leased, transferred, or there has been a business merger or a change in the name or trading name of the business, and which is pending before the Tribunal shall, subject to section 37, be deemed to be an application made against the new employer and may be proceeded with before the Tribunal; (c) any collective agreement entered into by the outgoing employer and any recognised trade unions shall bind the new employer.