Definition: Employee Transfer is a process of horizontal movement of an employee, wherein there is a change in the job, without any revision in the remuneration and modification of responsibilities. It is a form of internal mobility, in which the employee is shifted from one job to another usually at a different location, department, or unit. Transfer can be temporary
or permanent one, and it is initiated by any of the two, i.e. employer or employee. Sometimes, it also includes promotion, demotion or even no change in the status and responsibility. Every organization has a defined criteria for the transfer of the employees, and it also varies from individual to individual. The primary reasons for employee transfer are mentioned hereunder: The transfer may be requested by the employee himself or by his immediate boss (superior) or by the manager of another department.
There are several benefits of transfers which includes improvement in skills, employee satisfaction, better employer-employee relations, the remedy to faulty placement etc. Rules Relating to Employee Transfer
There are some problems associated with the transfers such as employee may not like or fit the new location, or it may decrease productivity, or it may reduce their interest in the job, which leads to employee dissatisfaction. Reader InteractionsEverything you need to know about transfer. Transfer means shifting of an employee from one job to another, one unit to another or one shift to another and may involve a new geographical location. Transfers may be initiated by the organisation or by the employees with the approval of the organisation. Edwin B. Flippo defines, “Transfer is a change in job where the new job is substantially equal to the old in terms of pay, status and responsibilities.” Learn about:- 1. Introduction to Job Transfer 2. Definitions of Job Transfer 3. Meaning 4. Concept 5. Objectives 6. Need 7. Policy of Transfer 8. Essentials 9. Purpose 10. Types 11. Causes 12. Advantages and Disadvantages. What is Transfer: Introduction, Definitions, Meaning, Concept, Objectives, Need, Policy, Essentials, Reasons and a Few OthersContents:
What is Transfer – IntroductionTransfer is a process placing employees in positions where they are likely to be more effective or where they are likely to get more job satisfaction this transfer is a process of employee’s adjustment with the work, time and place. In transfers there is change in responsibility, designation and pay, etc. For example, if the marketing manager finds the sales of north zone falling continuously, he may transfer some salesmen from other zones to north zone in order to improve the situation as those salesmen are considered to be more experienced and trained in promotion sales. Sometimes, transfer may be made as disciplinary action also. In some organisations it is, a usual practice to transfer employees from one zone to another zone due to administrative reasons as in government services. Transfer is “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibilities and skills needed for compensation”, (Yoder and associates) A transfer is a horizontal or lateral movement of an employee from one job, section, department, shift, plant or position to another at the same or another place where his salary. Status and responsibility are same. It generally does not involve a promotion, demotion or a change in job status other than movement from one job or place to another. Transfer means shifting of an employee from one job to another, one unit to another or one shift to another and may involve a new geographical location. Transfers may be initiated by the organisation or by the employees with the approval of the organisation. Transfers have a number of objectives, such as moving employees to positions with a higher priority in terms of goals, placing employees in positions more appropriate to their interests or abilities or filling department vacancies with employees from overstaffed department. “A transfer involves the shifting of an employee from one job to another without any change of the level of responsibilities or compensation” —Dale Yoder A transfer is a horizontal or lateral movement of an employee from one job to another. As a result of change in job, pay, status and job conditions of new position or job are almost the same as that of the old. In case of promotion, the new position has higher pay, status and job conditions as compared with the old. A transfer may be associated with a higher pay, but it is counterbalanced by changes in other conditions. For instance, a person may be transferred to a hilly area and may be offered hill allowance. What is Transfer – Definitions Suggested by Eminent Authors like Yoder and Associates and Edwin B. FlippoA transfer may be defined as change in job within the organisation where the new job is substantially equal to the old in terms of pay, status and responsibilities. Transfers are possible from one department to the other or from one plant to the other. A transfer implies a lateral movement of an employee in the hierarchy of position with the similar salary or pay and status. The scope of transferring may be in two categories company-initiated or employee-initiated. In first instance, a company may initiate a transfer to place employees in positions where they are likely to be more effective or where they are likely to get greater satisfaction or where they are able to meet the work schedules of the organisation. In the second instance, employees may initiate transfers for several reasons. They may demand a change of bosses or of locations. They may try to obtain more allowances or specific working conditions which are affixed to a new position. They may want to join their friends and relatives or they may try to avoid interpersonal conflicts with their present colleagues. Transfer is defined as under: Yoder and Associates, defines ‘transfer’ as, “Transfer is a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibilities, skills needed or compensation.” Edwin B. Flippo defines, “Transfer is a change in job where the new job is substantially equal to the old in terms of pay, status and responsibilities.” A transfer is a horizontal movement of an employee from one job, section, department, shift, plant or position to another at the ‘same or’ another place where his salary, status or responsibility are the same. It generally does not involve a promotion or demotion or a change in job status other than movement from on job or place to another. Transfer is defined as “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibilities, skills needed or compensation.” What is Transfer – MeaningA transfer implies a lateral or horizontal movement of an employee in the hierarchy of positions with the same pay and status. Transfers may be either company initiated or employee-initiated. A company may initiate a transfer to place employees in positions where they are likely to be more effective or where they are likely to get greater satisfaction or where they are better able to meet the work schedules of the organizations. Similarly, employees may initiate transfers for reasons like change of bosses or of location, or obtain more allowances or better working conditions attached to a new position. They may want to join their friends and relatives or avoid interpersonal conflicts with their present colleagues. Organisations resort to another type of mobility of employees in order to place the right employee in the right job. This type of mobility which is restricted to movement of an employee from one job to another in the same level of organisational hierarchy is termed as ‘transfer.’ Transfer is defined as “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibilities, skills needed or compensation.” Transfer is also defined as “…the moving of an employee from one job to another. It may involve a promotion, demotion or no change in job status other than moving from one job to another.” However, transfer is viewed as change in assignment in which the employee moves from one job to another in the same level of hierarchy requiring similar skills involving approximately same level of responsibility, same status and the same level of pay. Thus, promotion is upward reassignment of a job; demotion is a downward job reassignment whereas transfer is a latter or horizontal job reassignment. Yoder and associates have defined transfer as “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibilities, skills needed or compensation.” A transfer is a horizontal or lateral movement of an employee from one job, section, department, shift, plant or position to another at the same or another place where his salary, status and responsibility are the same. It generally does not involve a promotion, demotion or a change in job status other than movement from one job or place to another. What is Transfer – ConceptA transfer may be defined as a change in job of an employee within the organisation where the new job is substantially equal to the old in term of pay, status and responsibilities. Pigors & Meyers consider transfer as – “the movement of an employee from one job to another on the same occupational level and at about the same level of wage or salary.” No appreciable change in task or responsibility is expected. According to Dale Yoder, “A transfer involves the shifting of an employee from one job to another without special reference to changing responsibilities or compensation.” Employees may be transferred either because of the needs of the business or at their own request. Transfers are usually effected to build up a more satisfactory work team and to achieve the following purposes: 1. To increase the effectiveness of the organisation. 2. To increase versatility and competence of key positions. 3. To deal with fluctuations in work requirements. 4. To correct incompatibilities in employee relations. 5. To correct erroneous placement. 6. To relieve monotony. 7. To move an employee in the interests of health or age. 8. To provide creative opportunity. 9. To train employees for later advancement or promotion. Every organisation should have a fair and impartial transfer policy which should be known to each employee. For successful transfer policies, it is necessary to have a proper job description and job analysis. 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. Because every transfer involves some description and cost. This will ensure uniformity of treatment and avoid transfers for petty reasons. A good transfer policy should: 1. Clarify the types of transfers and the conditions under which these will be made. 2. Locate the authority in some officer who may initiate and implement transfers. 3. Indicate whether transfers can be made only within a sub-unit or also between departments, divisions/plants. 4. Indicate the basis for transfer, i.e., whether it will be based on seniority or on skill and competence or any other factor. 5. Intimate the fact of transfer to the person concerned will in advance. 6. Communicate the name in writing to all concerned. Proper administration of the transfer programme is highly useful not only in adjusting to varying situations, but also in placing individuals gainfully in different economic and personal situations. What is Transfer – 9 Main ObjectivesThe following are some of the objectives of a transfer in a company: 1. To meet the exigencies of the company’s business. 2. To meet the request of an employee. 3. To correct incompatibilities of employee. 4. To suit the age and health of an employee. 5. To provide creative opportunities to deserving employees. 6. To train the employees for later advancement and promotion this involves actually job rotation. 7. To deal with fluctuation in work requirements or exigencies of work such as where there is slackness in the work in one department and more of work in another an employee from the first department is transferred for a temporary period as found necessary. 8. To correct erroneous placement. 9. To place the employee in another department where he would be more suitable. What is Transfer – NeedThe need for transfer generally arises due to the following reasons: i. The employee has progressed as for as he/she can in his/her present job and is capable of handling a different job. ii. Reduction in the volume of work in a department along with some other departments need for additional hand. iii. The employee has little interest in his/her present job and seeks a change. He/she may or may not have had an interest in his/her job in the past. With the passage of time, an employee’s interest frequently changes. iv. Some workers lack the experience that would prepare them for better positions. Transfer to various other jobs of the company might provide that experience. People may be transferred either because of the needs of the organization or at their own request. Quite often, the management makes remedial transfers because an individual is not performing satisfactorily in his/her present assignment, and his/her qualifications are that, management feels, would be more suitable on a different job. Sometimes, the employees request a transfer because they do not like their present work situation or because they feel that opportunity for advancement is better in some other job/ department. While analysing transfer requests and the actual transfer, a systematic classification is desirable. The following has been found to be useful: (1) Transfers in the Interest of the Organization:(i) Temporary – (a) Arising from temporary absenteeism (b) Shifts in workload (c) Vacations (ii) Permanent – (a) Shifts in workload (b) Vacancies requiring the special skill or ability of the transferred employee (2) Transfer for the Convenience of the Employee:(i) Temporary – (a) Arising from ill health or accident (b) Family situation (c) To take care of private affairs (ii) Permanent – (a) Arising from ill health or accident (b) Outside interests—to attend school or similar activities (c) Family considerations, e.g., a man whose wife has died may have to be with his children, and may thus be unable to work in the second or third shift (d) Because of transportation, and (e) To learn particular skill. What is Transfer – PoliciesTransfer in big organisations is controlled by the department of Human Resource (HR). Normally an executive of HR Management will be in charge of such procedures to follow. Transfer can take place on following occasions: i. On completion of a tenure of an individual in a particular place. ii. On medical grounds, which compels the employee for transfer. iii. On compassionate grounds. iv. On promotion higher vacancy to take the charge of new post. v. On disciplinary grounds. A good transfer policy need to be just and impartial. It should clarify the internal and external transfers specifically the differences between the two. a) Internal transfer is carried out within the departments of a unit. b) Suppose an organisation has branches at different places, the transfer to such places arc considered as external transfers. c) Suppose an organisation is having office branch in Mumbai, Kolkata and so on, transfer from Kolkata to Mumbai is an external transfer. d) Transfer of an individual, e.g., from a supervisor to an executive (on promotion) is necessary when here is no vacancy for a higher position is not existing where the individual is working presently. e) The external transfer of an employee is subject to the provisions of TA (Travelling Allowance) and DA (Daily allowance). To provide TA to an employee is a mandatory requirement and providing DA is subject to local existing rules of organisation in this regard. f) Whenever an employee is transferred, a copy of his transfer order need to be sent to the concerned office for information and necessary action. What is Transfer – 10 Major Essentials: Written Form, Clarity, Rate of Pay, Intimation, Retention of Seniority, Not Frequent, Bases, Indication of the Authority and a Few OthersThe essentials of good transfer policy are as under: 1. Written Form – It should be in writing and be made known to all the employees of the organisation. 2. Clarity – The policy should clearly state the types of transfers and the circumstances under which transfers will be made. 3. Rate of Pay – The policy should also specify the rate of pay which is to be given to the transferee. 4. Intimation – The policy ensures that fact of transfer would be intimated to the person concerned well in advance. 5. Retention of Seniority – It should be mentioned whether an employee will retain the seniority at his credit permanently or for a temporary period or lose it altogether. 6. Not Frequent – The policy ensures that transfers should not be made frequently and not for the sake of transfer only. 7. Bases – The policy should also mention the basis for or grounds of transfers. 8. Indication of the Authority – The policy should indicate the authority in some officer who will be responsible for initiating and implementing transfers. 9. Area – This policy should specify the units or areas over which transfer would take place, i.e., whether transfers can be made only within a sub-unit or also between departments, divisions and plants. 10. Requirement of Training – It should be prescribed in the policy whether the training or retraining is required on the new job. What is Transfer – 8 Main PurposesTransfers are made by the organisations for achieving the following purposes: Purpose # 1. For Fulfilling the Organisational Requirements:Transfers are required for filling the vacancies created in the organisation due to the following changes: (i) Change in volume of production (ii) Change in technology (iii) Production schedule (iv) Quality of product (v) Product line (vi) Job pattern (vii) Fluctuations in market conditions (viii) Reallocation or reduction in workforce Purpose # 2. For Meeting Employees’ Requests:Transfers are made in the organisations for meeting the requests made by the employees in order to satisfy their desire to work under a different superior, different department/region where prospects of growth are high or the place is near to their hometown. Purpose # 3. Proper Utilisation of Employees:Sometimes, management feels that the capacities of employees can be better utilised at some other place or he is not performing satisfactorily or adequately at the present place, and he can perform better at the other place. Purpose # 4. Making Employees more Versatile:Transfers are made by the management for expanding the capabilities of the employees. They can be prepared for more important assignments for future through job rotation. Transfer of the employees to different jobs widens their knowledge and skills. Purpose # 5. To Accommodate Family Related Issues:Especially among women employees, family- related issues are the main reasons for transfer. On most occasions, after marriage, women like to join a job in the city of their husband. This fact necessitates the transfers or resignations. Purpose # 6. To Maintain a Tenure System:In government or administrative services, transfer is necessary to provide a wide variety of experiences to the employee. In such jobs, an employee holds the job for fixed tenure and after completing it he is transferred to another job. It also reduces the involvement of the employees in politicising informal groups. Purpose # 7. To Penalise the Employees:Employees indulging in undesirable activities may be transferred to remote places. It is a form of disciplinary action, which is mainly followed in the government offices. Employees who create problems at the workplace are transferred to other places. Purpose # 8. To Reduce Conflicts and Incompatibility:Employees are transferred for reducing conflicts and incompatibilities between employees. Sometimes an employee the finds it difficult to adjust with his colleagues in a particular section or department could be shifted to another place. It will reduce the conflicts in the organisation. Purpose # 9. To Provide Relief to the Employees:Transfers are made in the organisations for relieving the employees who are overburdened or doing risky work for a long period. This breaks the monopoly of the employee. The employee can also make a request for transfer, if the climate of a place is not suitable for him. Purpose # 10. To Adjust the Workforce:Workers or employees are transferred from the place where there is less work to the place of more work. This is the way of adjustment of employees in the organisation, so that they cannot be discharged from their duty if the work at their workplace is less. What is Transfer – 3 Types: Employee Initiated, Company Initiated and Public Initiated TransfersTransfers are basically of three categories, viz., employee-initiated transfer, company initiated transfer and public initiated transfers. Type # 1. Employee Initiated Transfer:These transfers are also known as personal transfers. These transfers are primarily in the interest of the employee and according to his convenience and desire. Further, these transfers can be classified into temporary and permanent transfers. (a) Temporary Transfers: The reasons for employee initiated temporary transfers are: i. Due to ill health or involvement of employees in accidents, ii. Due to family problems like taking care of old parents and iii. Due to other ad hoc problems like pursuing higher education. (b) Permanent Transfers: There are several reasons for employee initiated permanent transfers. Employees prefer transfers: i. Due to chronic ill health or permanent disablement caused by accident, ii. Due to family problems like taking care of domestic affairs in his native place, iii. With a view to correct his wrong placement. Employee may not be interested with the work, working conditions or environment of his present job and hence may require a transfer, iv. In order to relieve himself from the monotony or boredom caused due to doing the same job for years together, v. To avoid conflicts with his superiors. If most of the employees working under the same superior request for a transfer, the situation should be corrected by other means like developing that superior in inter-personal skills etc. rather than transferring the subordinates, vi. With a view to search for challenging and creative jobs and vii. With a view to search for a job with opportunities for advancement to a higher level job, opportunities for financial gains etc. Type # 2. Company Initiated Transfers:Transfers are also at the initiative of the company. They can be classified into temporary and permanent. (a) Temporary Transfers: Reasons for the company initiated temporary transfers are: i. Due to temporary absenteeism of employees, ii. Due to fluctuations in quality of production and thereby in work load, iii. Due to short vacations. (b) Permanent Transfers: Reasons for the company initiated permanent transfers are: i. Change in the quality of production, lines of activity, technology, organisational structure. ii. To improve the versatility of employees, iii. To improve the employee’s job satisfaction, iv. To minimise bribe or corruption. Type # 3. Public Initiated Transfers:Public also initiate the transfers generally through the politicians/government for the following reasons: i. If an employee’s behaviour in the society is against the social norms or if he indulges in any social evils. ii. If the functioning of an employee is against the public interest. The major drawback of public initiated transfers is the politicalisation of the issue. Some employees may be transferred frequently because of political victimisation and company initiated transfers of some employees may be stopped due to political favouritism. This drawback is more severe in government departments and public sector units. What is Transfer – 9 Reasons for Transfers in Modern OrganisationsIn modern organisations, transfers are made because of the following reasons: 1. Meeting Organisational Needs:A company may transfer employees due to changes in volume of production, in technology, in production schedule, in product line in organisation structure, in market conditions, etc., filling in of the vacancies which may occur because of separations or because of the need for suitable adjustments in business operations. In short, the purpose of transfers is to stabilise employment in the organisation. 2. Meeting Employees’ Requests:Transfers are also done at the request of the employees. Employee may need transfers in order to satisfy their desire to work under a different superior in a department/region where opportunities for advancement are bright, in or near their native place, doing a job where the work itself is challenging etc. Many employees seek transfer because of family related issues such as marriage or illness. 3. Better Utilisation of Employees:An employee may be transferred because the management feels that he is not performing satisfactorily and adequately and when the management feels that he may be more useful or suitable elsewhere, where his capacities would be better utilised. 4. Developing All-Rounder:The employees may be transferred to different jobs to widen their knowledge and skills. In some companies, transfers are made as a matter of policy after an employee has stayed on a job for a specified period. Such rotation from one job to another serves as a tool of developing versatile workers. 5. Manpower Adjustments:The employees may be transferred from a plant where there is less work to a plant where there is more work. Thus, the employees who have been in service of an organisation are not thrown out of employment but adjusted elsewhere. 6. Avoidance of Conflicts:Where employees find it difficult to get along with colleagues in a particular section or department, they could be shifted to another place to reduce conflicts. 7. Punishing the Employees:Transfers may be made as a disciplinary measure. The employees indulging in undesirable activities may be transferred to remote, far flung areas or transferred on less important jobs. 8. Relief to the Employees:Transfers may be made to give relief to employees who are overburdened or doing hazardous jobs for long periods. Transfer may also be made to break the monopoly of the employee. The climate to a place may be unsuitable for an employee’s health. He may request a transfer to another place, on health grounds. 9. Tenure System:In senior administrative services of the Government and also in industries, the employees hold certain jobs for a fixed tenure. They are made to move from job to job with a view to acquire variety of experience and skills and also to ensure that they do not get involved in favouring certain employees, vendors or customers. What is Transfer – Advantages and DisadvantagesAdvantages:Main advantages of transfer are highlighted as under: 1. Increases Motivation – It increases motivation and productivity through avoidance of monotony. 2. Relations Improvement – It improves supervisor-employee relations. 3. Ensures Future Promotions – It develops the employees for future promotions. 4. Increases Productivity – It increases the productivity and effectiveness of the organisation overall. 5. Improvement – It improves the skills of the existing employees. 6. Provides Job Satisfaction – It provides greater job satisfaction to the existing employees. 7. Stabilisation – It helps to stabilise fluctuating work requirements. 8. Remedial – It remedies faulty placements. Disadvantages:Transfer process is criticised on the following grounds: 1. Adjustment Problems – Adjustment problems to the employee to the new job, place, environment, superior and colleagues. 2. Inconvenient – Transfers from one place to another is caused much of inconvenience and cost to the employee and his family members relating to housing, education to children, etc. 3. Loss of Time – Transfer from one place to another result in loss of many days. 4. Reduces Contribution of Employees – Company initiated transfers result in reduction in employee contribution. 5. An Adverse Effect – Discriminatory transfers affect employee morale, job satisfaction, commitment and contribution. What means employees are transferred from one job to another?Job rotation is shifting the employees from one job position to another.
What is a job transfer called?A lateral transfer is when you move from one position to another at the same company and pay grade.
What is it called when you move from one department to another?Definition – Chapter 50: “Transfer” means the movement of an employee from a position in a job class to a vacant position for which the employee qualifies in the same or different job class in the same pay grade.
What are any 4 types of transfers possible?Types of Transfer:. The Following are The Various Types of Transfers:. (A) Production Transfers:. (B) Replacement Transfers:. (C) Versatility Transfers:. (D) Shift Transfers:. (E) Remedial Transfers:. (F) Miscellaneous Transfers:. |
What is the process of transferring an employee from one place to another called?
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