{"id":13378,"date":"2026-09-17T09:15:28","date_gmt":"2026-09-17T07:15:28","guid":{"rendered":"https:\/\/blogturismo.garrigues.com\/?p=13378"},"modified":"2026-09-17T10:19:50","modified_gmt":"2026-09-17T08:19:50","slug":"change-of-hotel-operator-key-employment-points-of-the-transfer-of-employees","status":"publish","type":"post","link":"https:\/\/blogturismo.garrigues.com\/en\/hotel-operation\/change-of-hotel-operator-key-employment-points-of-the-transfer-of-employees","title":{"rendered":"Change of hotel operator: key employment points of the transfer of employees"},"content":{"rendered":"

As we explained in our previous post<\/a>, a change of hotel operator can trigger a transfer of undertakings with direct implications on the hotel\u2019s employees. Along with receiving a business as a going concern,\u00a0 in most cases the new operator must take on the workers already providing services at the hotel, with all their rights and obligations. <\/strong><\/p>\n

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From a labor-law standpoint, the guiding rules on transfers of undertakings are governed by article 44 of the Workers\u2019 Statute (ET), which states that where an economic entity is transferred that retains its identity, meaning an organized set of means for carrying on an activity, the new owner assumes all the employment and social security rights and obligations relating to the employees of the previous owner.<\/p>\n

In the hotel industry, where tangible assets (plant, furniture or FF&E) coexist with intangibles (brand, know-how, booking list) and a large workforce, the continuity of that organization of the business is easily determined.<\/p>\n

The Supreme Court has specified that, in labor-intensive industries such as hospitality, the assumption of an essential part of the workforce can by itself be an indicator determining a transfer of undertakings, in line with the case law of the Court of Justice of the European Union and Directive 2001\/23\/CE.<\/p>\n

The change of operator requires orderly coordination between the parties. Therefore, before the change, the outgoing operator must provide the new operator with an updated list of the members of the workforce with their essential details: length of service, professional category, salary, hours, type of contract, special circumstances (sick leave, leave of absence, reduced working hours, and so on) as well as any outstanding lawsuits.<\/p>\n

Both operators must notify the workers\u2019 statutory representatives of the scheduled date for the change, the reasons for that change, implications for the workforce and stipulated measures (article 44.6 WS). This notification must be given sufficiently in advance and, in all cases, before the change is implemented.<\/p>\n

During the transition, the transfer comes into effect automatically by operation of the law: the employment contracts are transferred as they stand, and the workers\u2019 individual consent is not needed.<\/p>\n

It is recommendable for both operators to sign an assumption document recording the transferred employees, each worker’s conditions and all identified contingencies.<\/p>\n

And after the change, the new operator must observe the employees\u2019 valid employment conditions and make the relevant notifications of new employees and terminations for social security purposes to the Social Security General Treasury.<\/p>\n

The importance of carrying out a due diligence process to identity risks before completion was explained in our previous article. From the standpoint of labor law, this review is essential for the success of the transaction and must cover at least:<\/p>\n