Where the ownership or management of an undertaking is transferred, whether by agreement or by operation of law, from the employer in relation to that undertaking to a new employer, every workman who has been in continuous service for not less than one year in that undertaking immediately before such transfer shall be entitled to notice and compensation in accordance with the provisions of section 25F, as if the workman had been retrenched:
Provided that nothing in this section shall apply to a workman in any case where there has been a change of employers by reason of the transfer, if—
(a) the service of the workman has not been interrupted by such transfer;
1. The proviso omitted by Act 49 of 1984, s. 3 (w.e.f. 18-8-1984).
2. Subs. by Act 36 of 1964, s. 14, for “for every completed year of service” (w.e.f. 19-12-1964).
3. Ins. by s. 14, ibid. (w.e.f. 19-12-1964).
4. Subs. by Act 18 of 1957, s. 3, for section 25FF (w.e.f. 28-11-1956).
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(b) the terms and conditions of service applicable to the workman after such transfer are not in any way less favourable to the workman than those applicable to him immediately before the transfer;
and
(c) the new employer is, under the terms of such transfer or otherwise, legally liable to pay to the workman, in the event of his retrenchment, compensation on the basis that his service has been continuous and has not been interrupted by the transfer.