mARCH 2012 62 Legal Focus www.lawyer-monthly.com

Employment issues in M&A Luxembourg

Taking a look at the employment-related issues that surround mergers and acquisitions, Lawyer Monthly takes a look at Luxembourg by speaking to Anne Morel, Partner at Luxembourg-based, full service law firm, BONN STEICHEN & PARTNERS. Here, Anne discusses with us the most common issues within employment law to arise on mergers and acquisitions in Luxembourg, how these challenges alter when the deal is cross-border, and what types of due diligence companies should be carrying out when looking to embark up on a transaction in this country.

Q

Can you briefly introduce yourself and your firm?

BONN STEICHEN & PARTNERS was founded on January 1st, 2012 by eight of the original ten partners of the former firm BONN SCHMITT STEICHEN. BONN STEICHEN & PARTNERS is a full service Luxembourg-based law firm committed to providing the highest quality legal services. With in excess of 50 professionals, BONN STEICHEN & PARTNERS offers a breadth and depth of knowledge and experience in all aspects of Luxembourg law (Corporate, Banking & finance, Investment, Dispute resolution, Tax, Employment,

Compensation & Benefits, IP, IT & General Commercial, Real Estate and Construction).

We advise local and foreign clients

including leading international financial institutions and corporations and we work regularly with well-known international law firms worldwide.

Q

what are the most common employment-

related

challenges to arise within mergers and acquisitions in your experience?

The challenge is to analyse the factual situation and to assess whether legal

provisions governing the transfer of undertaking must be complied with, and in general whether the transaction triggers for the involved entities any information/consultation or negotiation requirements. The legal requirements will greatly depend on whether the envisaged transaction is a merger entailing the application of the legal provisions governing the transfer of undertaking or whether the envisaged transaction is an acquisition of shares. The issue that we also regularly encounter, relates to the measures that the involved entities will be able to take in respect of the personnel after the transaction has been carried out, such organisational measures and/or