Comment by NumberCruncher

In Germany this isn't a legal move. One of my former employees (global telco everyone knows) tried to do the same, namely moving the contracts of the employees to an other company. 200 of them started a class action and won easily. The company had to terminate their contracts (which means the employees are eligible for unemployment benefits, etc.) and had to pay a good severance. Something like (years of employment) * 2 monthly salaries. Some of the employees took the money and went into early retirement.