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Employee Transfer



employee transferOne of the internal mobility of the employee is transfer. It is lateral movement of employee in an organization by the employee. “A transfer involves the shifting of an employee from one job to another without changing the responsibilities or compensation”.

Transfers of employees are quite common in all organizations. This can also be defined as a change in job within the organization where the new job is substantially equal to the old in terms of pay, status and responsibilities. Transfers of employees can possible from one department to another from one plant to another. Transfer may be initiated by the organization or by the employees with the approval of the organization. It can be also due to changes in organizational structure or change in volume of work, it is also necessary due to variety of reasons. But broadly can be done either to suit the conveniences of organization and to suit the convenience of employees.

The purposes of the Transfer

The transfer are generally affected to build up a more satisfactory work team and to achieve the following purposes:

  •  To increase the effectiveness of the organization.
  •  To increase the versatility and competency of key positions.
  •  To deal with fluctuations in work requirements.
  •  To correct incompatibilities in employee relations.
  •  To correct, erroneous placement.
  •  To relieve monotony.
  •  To adjust workforce.
  •  To punish employees.

Types of Transfers most of the transfers generally carried out four types of transfers which are discussed below:

Production Transfer: Such transfers are resorted to when there is a need of manpower in one department and surplus manpower in other department. Such transfers are made to meet the company requirements. The surplus employees in one department/section might be observed in other place where there is a requirement.

Replacement Transfers: This takes place to replace a new employee who has been in the organization for a long time and there by giving some relief to an old employee from the heavy pressure of work.

Remedial Transfers: As the name suggest, these transfers are made to rectify the situation caused by faulty selection and placement procedures. Such transfers are made to rectify mistakes in placement and recruitments. If the initial placement of an individual is faulty or has not adjusted to work/job, his transfer to a more appropriate job is desirable.

Versatility Transfer: Such transfers are made to increase versatility of the employees from one job to another and one department to another department. Transfer (Job Rotation) are the tool to train the employees. Each employee should provide a varied and broader job experiences by moving from one department to another. This is for preparing the employee for promotion, this will definitely help the employee to have job enrichment.


Transfer Policy


Every organization should have a fair and impartial transfer policy which should be known to each employee. The responsibility for effecting transfers is generally entrusted to an executive with power to prescribe the conditions under which requests for transferred are approved. Care should be taken to ensure that frequent or large scale transfers are avoided by laying down adequate selection and placement procedures for the purpose. A good transfer policy should:

  •  Specifically clarify the types of transfers and the conditions under which these will be made.
  •  Locate the authority in some officer who may initiate and implement transfers.
  •  Indicate whether transfers, i.e., whether it will be based on seniority or on the skill and competency or any other factor.
  •  Decide the rate of pay to be given to the transfere.
  •  Intimate the fact of the transfer to the person concerned well in advance.
  •  Be in writing and duly communicated to all concerned.
  •  Not be made frequently and for sake of transfer only.

A sound, just and impartial transfer policy should be evolved in the organization to govern all types of transfers. This policy should be clearly specified so that the superiors cannot transfer their subordinates arbitrarily and subordinates may not request for transfers even for the small issues. The management must frame policy on transfers and apply it to all the transfers instead of treating each case on its merit. Such a policy must be based on the following principles:

1. Transfer policy must be in writing and be made known to all the employees of the organization.

2. The policy must very clearly specify the types and the circumstances under which company initiated the transfer will be made.

3. Basis of the transfer should be clearly mentioned in the policy, whether it will be based seniority or on the skill and the competency or any other factors.

4. It should indicate the executives who will be responsible for initiating and approving the transfers.

5. The policy should specify the region or unit of the organization within which transfers will be administered.

6. The effect of the transfer on the pay and seniority of the transferred employee may be clearly evaluated.

7. It should be prescribed in the policy whether the training or retraining is required on the new job.

8. Transfer should be clearly defined as temporary or permanent.

9. The interest of the organization are not to be forgotten in framing a policy of transfer.

10. Reasons for the mutual transfer of employees or reasons to be considered for the personal transfers should be specified.

11. The fact of the transfer should be intimated to the person concerned well in advance.

12. Transfer should not be made frequent and not for the sake of transfer only.

  1. mariam sardick
    November 14, 2014 at 2:19 pm

    please I need a reference of this book. thank you

  2. Piet van Vreden
    January 2, 2019 at 4:27 pm

    What is the rights is an employee when he is transfered. the notice period . must this be discussed by the employee before he is informed he is transfered. Must all detail aboute the trsnsfered discussed

  3. Venkateswarlu Saki
    October 9, 2019 at 5:53 pm

    The information on TRANSFER was given elaborately and impressively.I feel there is nothing to talk negatively.In my view all the possitivi-
    is observed.No negative comments from my end.

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