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Employee moving from UK to US: Continuous Employement question

Anka

We have an employee who will move to our wholly-owned US subsdiary, working on a US contract and paid via the US payroll (this is not a secondment).  There is no guarantee that we would re-hire them in the UK if they decided to come back, we might not have a role for them here, so I am planning to send them a letter stating that the terms of their previous UK contract will no longer apply. 

Questions:

1. I presume we are not obliged, if they were to return, to keep their continuous employment date as the date they first started in the UK?  

2.  Provided my view on  1. is correct, am I being mean...?  Would the collective wisdom of the Forum be to keep their continuous employment date in case they need to access US benefits more quickly (there are waiting periods there) and in case they return to the UK?  

Thanks!

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  • Hello Anka
    Technically, the terms of the US job offer could be with or without credit for past service within the group.
    If you wish to retain the services of the employee within the group in the future, you may want to consider sending a positive signal to the employee by giving credit for past service for periods spent both in the UK and the US. ( albeit adding to potential future costs to the company for service related benefits or entitlements)
    IMO it's a matter of how strong your desire is to retain the employee in the long term and whether are prepared to take the extra potential cost in the future by giving credit for past service.
  • in reply to Kevin Elvidge
    Thank you. My main concern is not the continuous service as such, but the potential expectation of the employee of being able to return to a job in the UK which we are unlikely to be able to accommodate. I want to be crystal clear that a US contract is a US contract with all that entails.
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