This document discusses various types of employee transfers, promotions, demotions, and separations. It defines each term and outlines policies and procedures organizations should have in place to manage these human resource activities. Transfers can be used to better utilize employees or adjust the workforce. Promotions motivate employees and reward merit and seniority. Demotions are typically performance-based or due to adverse business conditions. Separations include resignation, retirement, layoffs, and termination. Clear policies help employees understand expectations for transfers, promotions, discipline, and separation.

1. Transfer ,Promotion, Demotion
Separation

2. Transfer
• A transfer is a change in job assignment. It
may involve a promotion or demotion or no
change at all in status and responsibility.

3. Purposes of Transfer
• To meet the organizational requirements
To satisfy the employee needs
To utilize employees better
To make the employee more versatile
To adjust the workforce
To provide relief
To reduce conflicts
To punish employees

4. Types of Transfer
• Production Transfers
• Replacement Transfers
• Rotation Transfers
• Shift Transfers
• Remedial Transfers
• Penal Transfers

5. Benefits of Transfers
- Improve employee skills.
-Reduce monotony, boredom
-Remedy faulty placement decisions
-Prepare the employee for challenging
assignments in future
-Stabilise changing work requirements in
different departments/locations
-Improve employee satisfaction and morale
-Improve employer-employee relations

6. Problems
-to employees who otherwise do not want to
move
-Employees may or may not fit in the new
location/department
-Shifting of experienced hands may affect
productivity
-Discriminatory transfers may affect employee
morale.

7. Transfer policy:
– Transfer policy: Organisations should clearly
specify their policy regarding transfers. Such a
policy would normally consist of the following
things
– Specify circumstances under which the transfer
has been effected
– Name the persons authorised to effect transfers
– Mention the basis for the transfer
– Clarify the position regarding pay, allowances,
benefits etc

8. Promotion
• Promotion refers to upward movement of an employee from current job
to another that is higher in pay, responsibility and/or organisational level.
• Purposes and Advantages of Promotion
• Promotion has powerful motivational value as it compels an employee to
utilise his talents fully, and remain loyal and committed to his or her job
and the organisation

9. Bases of Promotion
• Merit based promotions
• Seniority based promotions

10. Promotion Policy
• To be fair, an organisation should institute a
promotion Policy that gives due weight age to
both seniority and merit.
• Promotion Opportunities must be thrown open
to all employees.
• The norms for promotion should be expressed in
writing.
• Detailed records must be maintained for this
Purpose.
• A responsible official should be asked to take the
final decision regarding employee promotions.

11. Demotion
Demotion is the downward movement of an
employee in the organisational hierarchy with
lower status and pay.
It is a downgrading process where the employee
suffers considerable emotional and financial loss
in the form of lower rank, power and status,
lower pay and poor working

12. Causes of demotion
• Employee unable to meet job requirements.
• Organisation forced to demote employees
because of adverse business conditions.
• Demotions happening to check errant
employees

13. Demotion policy
• A clear cut policy regarding demotions would
help employees adjust to complex organisational
demands admirably.
• Punishable offences must be listed in advance.
Better to state the reasons before punishing an
employee.
• Any violation must be properly investigated and
followed by a consistent and equitable
application of the penalty. There should be
enough room for review.

14. Employee Separations
Employee separations occur when employees
cease to be members of an organisation.
The service agreement between the employee
and the employer comes to an end and the
employee decides to leave the organisation.

15. Separations can take several forms
– Resignation: A voluntary separation initiated by the employee himself is
called resignation. It is always better to find why the employee has decided to
quit the organisation. Properly conducted exit interviews would help throw
light on factors behind the curtain .
– Retirement: Termination of service on reaching the age of superannuation
is called retirement.
– Compulsory Retirement
– Voluntary Retirement
To avoid problems, organisations normally plan replacements to retiring
employees beforehand.
– Death: Some employees may die in service. Death caused by occupational
hazards, of course, would attract the provisions of Workmens Compensation
Act, 1923. The normal separation of people from an organisation due to
resignation, retirement or death is known as attrition.

16. • Lay off: A lay off entails the separation of the
employee from the organisation temporarily
for economic or business reasons. Employee
get 50% excluding holidays of his normal basic
pay plus dearness allowances.
• Retrenchment: A permanent lay off for
reasons other than punishment but not
retirement or termination owing to ill health is
called retrenchment. Legally speaking,
employers in India are required to give
advance notice or pay equivalent wages
before the actual lay off date.

17. • Outplacement: Outplacement assistance includes Efforts
made by the employer to help a recently separated employee
find a job. Apart from training support to such employees,
some organisations offer assistance in the form of paid leave
travel charges for attending interviews, search firm expenses
,etc.
• Suspension: Suspension means prohibiting an employee from
attending work and performing normal duties assigned to
him. He receives Subsistence allowances.
• Discharge and dismissal: The termination of the services of an
employee as a punitive measure for some misconduct is
called dismissal. Discharge also means termination of the
services of an employee but not necessarily as a punishment.
A discharge does not arise from a single irrational act such as
alcoholism, willful violation of rules, insubordination,
carelessness, dishonesty, inefficiency, violent acts,
unauthorized absence for a long time .