Checklist · Mergers & Acquisitions / Private Equity
Transferring employees schedule for an asset sale: service, leave and redundancy
A schedule of employees who may move with a business on an asset sale, and the choices about recognising prior service for redundancy, leave, unfair dismissal and notice.
- Kind
- Checklist. Steps or checks to work through and tick off.
- Where it applies
- Australia
- AI use
- Yellow You and the tool draft together, with you directing. You check every statement you rely on.
- Law stated as at
- 22 October 2026
- Status
- Maintained. Checked on 22 October 2026 against the 2 authorities it cites, for Australia.
- Version
- 1
- Source
- Written for this library
When to use it
Use when a buyer is acquiring assets of a business and some employees may start with the buyer within three months, doing the same or nearly the same work. A share sale does not, by itself, change the employer.
Used for these tasks
- Build the transferring employee schedule for an asset sale
- Prepare the employment due-diligence issues list for the deal
Each task page says how far AI may help with the task and what the lawyer must review.
How AI may be used
AI may build the employee schedule from payroll and the sale agreement and list the service choices; the lawyer decides which service is recognised and what each employee is told, before anything is sent.
AI may
- Build the employee table from the payroll export and the sale agreement's employee clause
- Flag, from the Fair Work Ombudsman's description, which entitlements the new employer must recognise and which it may choose not to
- List the written notice the new employer must give if prior service will not count for unfair dismissal
AI must not
- Must not decide that there is a transfer of business, or that the employers are associated entities
- Must not tell an employee their job has ended, or draft the termination or offer letter that goes to them, unless the lawyer has settled it
- Must not calculate a redundancy or leave payout as the figure that will be paid
The lawyer checks
- Each of the three transfer-of-business elements is met, and the connection (asset sale, associated entities, or outsourcing) is identified
- The new employer's choice on redundancy and annual leave is recorded, and the old employer's payout obligation follows that choice
- Any decision not to recognise service for unfair dismissal is in writing and given before the new employment starts
- The employee is not treated as losing redundancy pay merely because they rejected an offer, unless the offer meets the conditions the Fair Work Ombudsman states
Method: how the Green, Yellow and Red levels are decided. This is guidance for planning, not legal advice.
Read the full text
The full text is available after you log in. It is free. When you log in you can:
- read the whole precedent, with its drafting notes beside it;
- copy it, or download it as a Word file or Markdown;
- add it to your firm’s knowledge base, so colleagues can find it;
- let the AI tools you connect read it from that knowledge base.
The summary, the law it rests on and the AI-use guidance above stay public. Privacy.
More in Mergers & Acquisitions / Private Equity
- Legal due diligence request list (share or asset acquisition)
- Non-binding indicative offer letter for a share or business acquisition (with binding confidentiality, exclusivity and costs terms)
- Non-binding letter of intent for a stock or asset purchase
- Protocol for AI-assisted due diligence review, with client notice (tools, data-room terms, sampling, sign-off)
- Foreign resident capital gains withholding checklist for a share or asset acquisition
- Share sale completion agenda, deliverables checklist and funds flow (private company)
- Acquisition due-diligence request list (United States private deal)
- AI systems and data warranties and indemnities for a share or asset sale agreement
- Post-completion steps checklist for a share or business acquisition: filings, novations, IP recordals, regulators and integration
- Substantial holding notice checklist for a stake in a listed entity
- Deal-process mutual nondisclosure agreement
- ACCC merger notification screening worksheet
- Private acquisition closing checklist (United States)
- Vendor disclosure letter against sale agreement warranties
- Clean team protocol for a competitor acquisition
- Scheme of arrangement and takeover bid timetable and deal-protection checklist
- Directors' circulating resolution approving a share sale
- FIRB application information checklist and cover letter
All precedents for Mergers & Acquisitions / Private Equity · Tasks and AI use in this area