It depends on how the employees are transferred and what their existing employment contracts say.
Employees could continue to be employed by you, but be seconded to the venture. Employees may be able to claim constructive unfair dismissal if, for example, they are required to relocate and do not wish to do so.
Alternatively, a business - including the employees working in it - might be transferred into the joint venture. The employees' existing contractual rights will be protected. Again, employees might be able to claim unfair dismissal depending upon the circumstances of transfer. The Transfer of Undertakings (Protection of Employees) Regulations must be considered at all times and specialist employment advice should be taken.
Thirdly, an employee could be offered the opportunity to resign and take up a new job with the joint venture. Depending on the ownership of the joint venture, some of the employee's rights (such as continuous service) under the existing employment contract might be protected.
As with most employment matters, you can minimise the likelihood of any dispute by discussing and negotiating your plans with the employees involved.
