This document discusses different types of changes in employment status: promotion, demotion, transfer, and separation. It provides details on the criteria and approaches used for promotions, as well as the reasons behind demotion, transfer, and employee separation. Promotion generally involves reassignment to a higher position with increased responsibilities and pay. Demotion is a move to a lower level job with fewer skills and reduced status. Transfer involves reassignment to a similar job in a different unit or location. Employee separation can be initiated by either the employer or employee and terminating regular employees in the Philippines requires following specific governing laws.

1. Chapter 7-
Changes in
Personnel Status
Nicole Beatriz Calacal

2. Changes in employment status are bound to
take place during the period of employment.
There is a continuous movement of employees in
the form of promotion, transfer, demotion or
separation. This movement is the function of
placement where in the objective is to find or
assign the right person to the right job.

3. A change in employment status is effected
by a personnel action generated by the HR
department upon receipt of a written
request from an authorized representative
of a department expressing the intended
change in employment status.

4. PROMOTION
It involves the reassignment of an employee to a higher
job position. This also refers to the upward or vertical
movement of employees in an organization from lower
level jobs to higher level jobs involving increases in duties
and responsibilities, higher pay, and privileges.
Promotion serves as encouragement and inspiration to
other employees to exert their maximum effort. This can
also help instill loyalty to the firm.

5. APPROACHES TO RECRUIT
EMPLOYEES FOR PROMOTION
1. Closed Promotion System- the
responsibility of the supervisor to identify
promotable employees for the job to be
filled.
2. Open Promotion System- also known as
job posting--- enhance participation and the
achievement of equal opportunity goals.

6. CRITERIA USED IN PROMOTING EMPLOYEES
1. Seniority- length of service
a. Straight Seniority- the length of service of an
employee is the sole basis for determining who gets
the promotion
b. Qualified Seniority- the more competent
employee as compared to another employee with
longer service will be the one promoted.
2. Current and Past Performance-promotion is
based on previous job performance and evaluation.

7. Unofficial Promotion Criteria
1. Personal Characteristics
2. Nepotism- showing of favorism or patronage to relatives
3. Social factors/friendship
Remember that when an employee accepts a job, he/she
does not expect to stay in the same job throughout his/her
working life. It is normal for all employees to expect
promotion in exchange for a job well done. As pointed out by
Herzberg's Motivation Hygiene Theory (F. Herzberg et al.,
The Motivation to Work), giving recognition related to the
job can create high levels of motivation.

8. DEMOTION
This is the reassignment of an employee to a lower job involving
fewer skills and responsibilities. It is also the movement of an
employee to a less important job from a higher-level job in the
organization. It may not involve a reduction in pay but a reduction
in status or privileges.
As a general rule, demotion should be cautiously resorted to for it
badly affects individual and group morale and productivity. The
alternative to demotion should be re-training or reorientation on
the job and attitude toward work, or as a last resort, termination of
employment if no improvement is achieved.

9. REASONS BEHIND DEMOTION
1. Reorganisation, company merger, or business reverses
resulting to fewer jobs, forcing some employees to accept
demotion.
2. Inability of employees to perform their job based on
acceptable standards
3. As a form of disciplinary action or a way to handle
disciplinary problems, also viewed as a routine form of
punishment for wrongdoing.
4. The tool used to inform the employee concerned that he or
she is beginning to be a "liability" rather than an "asset" to
the organisation.

10. TRANSFER
This is the reassignment of an employee to a job
with similar pay, status, duties and responsibilities
or to another work shift, or from one unit to another
in the same company, just like being an invoice,
clerk to a sales clerk. The right to transfer an
employee is part of management's inherent power or
prerogatives.

11. REASONS FOR TRANSFER
1. Due to job dissatisfaction
2. In conflict to supervisor or coworkers
3. For employee's convenience
4. Organizational needs may require transfer due to
business expansion, retrenchment, erroneous
placement, or to meet departmental requirements
during peak season.
5. For an employee to be better suited or adjusted to
the job (remedial transfer).

12. EMPLOYEE SEPARATION
Different kinds of separation occur depending on wheter
the employee or the employer decides to terminate the
employment relationship.
Termination of Employment in the Philippines
Terminating an employee in the Philippines is a complex
process, especially if the employee subject for termination
is already a regular employee. The following are governing
laws regarding separation from the service.

13. THANK YOU!