What happens to employees when a company enters administration?

An overview of employee considerations when a business enters administration or is sold.

An administrator may continue employing staff while trading or marketing the business, but redundancies can occur. If a business is sold, employment-transfer rules may apply depending on the circumstances. Employee claims, consultation duties and the treatment of arrears can be complex. Employees and buyers should seek advice specific to the case; Acquire UK company records do not determine individual employment rights or liabilities.