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  • Category: Indian Law

    Transfer policy for private employees

    Have a query about employee transfer policy in private sector? Looking out for details of this policy? On this Ask Expert page you can get information about the transfer policy and can make an informed decision.

    I am working in Thomson Digital a subsidiary of Thomson Press (India Today group). Here we are doing the KPO job. Our company is closing the operation of Nodia unit. And transferring the job to Chennai unit because they want to start a new business. They are forcing the employees to either take chennai transfer or leave the job with one month salary.

    Our company is not paying us the cost of relocating the family under transfer. Their are also not arranging our train tickets. They are saying pay for travel charges from your own pocket first. They will reimburse the amount later when we will join the office.

    My question is whether a company can forcibly transfer a employ without his consent. When the company is not willing to bear the cost of relocating his family.

    Please suggest under these circumstances what we can do. Because we can't bear the cost of relocating our family because under salary is low and neither company is not helping us.

    Our company main intension behind this is that all company employees leave their job with one month salary.

    Please suggest the legal option for us so we can avoid the transfer. And leave this company with a good amount.
  • Answers

    6 Answers found.
  • There are no common transfer rules in private companies for executives. Initially when they will give the appointment letter in which they mention that your employment is transferable and you will be transferred anywhere as required by the company. Even they are not mentioning that they can transfer employees anywhere. They even can terminate with one month notice period. You can't say.
    But many companies generally give relocation allowance and TA/DA for joining at the new location. They will never give an advance. They reimburse only. No way to demand. If we are not happy, we have to resign and leave. When the company is not doing well all companies play these tricks. Some big companies are also doing these tricks.
    My sincere suggestion is that you join at Chennai and apply for reimbursement of expenses. While working there you try for a good company. It is always better to try for another job when you are in employment only. Otherwise, the companies will start bargaining heavily when they know that you don't have a job.
    These are the inherent problems in private jobs. There is no guarantee for your job anytime.

    always confident

  • Most of the points are same as author Dr N V Srinivas Rao has mentioned. You can go through the rules that are set by the company for employees under your designation. Private companies can set their own rules. But they cannot stop any branch without prior notice to the employees. They have to give time to the employees to shift or search for another job. As you mentioned that they said that you have to bear the cost first and then we will give. If so, get that statement in writing. You can even issue a legal notice to the company with the help of other employees. But before that its better your employee association may talk with their superior regarding this and let the employees know the rules set by the company for employees. In case if it is mentioned then your at fault. If in rules such clause is not mentioned then you can go in with legal notice to the company. To have detailed procedure its better you contact an advocate regarding your problems.

  • TThis response is marked as DELETED by the admin.

    This seems to be an internal policy issue. So the transfer policy is going to vary from one company to another. There is no fixed policy on this set by government or any law. You can be transferred depending on the work and the requirement. It all depends on the company and it's operations in the branch.

    You have to ask the manager for how long such transfers are going to be in place. You just have to proceed with the company policy. They may put you up for transfer depending on their requirement.

  • When a person joins a private company then generally there is a contract and agreement signed between the company and the individual. The terms and conditions of that particular contract in respect of that person who is going to be an employee of the organisation are governed by that contract. In case there is no contract he will be asked to sign an undertaking that he has gone through the terms and conditions of the company for his job and his service conditions will be accordingly applied.
    So in your case also you can again confirm with your company about the terms and conditions of your job and as per that you have to follow and there is no other go except to obey them.
    It is only some good companies who give special allowances to their employees in case of the transfer like what happens in government service.

    Thoughts exchanged is knowledge gained.

  • Frankly speaking, I don't find anything wrong about the action of the Company. If you judge impartially, you will find that the Company transfers its employees from a place where its operation is stopped to a place where it is going to start its operation. There is nothing wrong in it. The company could have easily handed over pink-slip to the employees of the unit where operation has been stopped.

    You have been transferred to Chennai. I suggest you go and join there and seek reimbursement of cost.

    So far as transfer policy is concerned, there is no hard and fast transfer policy in private sector. An employee can be transferred to any place of operation of the Company.

    Beware! I question everything and everybody.

  • The rules and regulations for transfer of an employee from one place to another are totally different between the government sector and private sector. In government sector there are many facilities to the employees like dis dislocation allowance, transfer allowance etc but in private sector it is not like that. There may be very few private companies which may be paying to their employees this type of allowance.

    The terms and conditions of the service of an employee are generally made clear at the time of appointment and the employee has to adhere to those rules and regulations as per his service condition.

    So in your case you have to move out to the new place or if the company is reducing its manpower due to various reasons then they can always ask you to go by paying a one month salary as per the terms and condition of the service.

    Knowledge is power.

  • As the details of the terms and conditions of your job are not detailed, I shall give my suggestions and opinion totally based on the narration in the question.
    Overall, I feel that your company has followed what is followed in many other establishments. A company decides about compensating its employees depending on its profit, surplus funds, turnover, demand for its products and services etc. In some long established and large organisations there may be approved trade unions and there may be some mutually accepted settlements But smaller organisations may no be able to follow those system.

    In the present case, the company is" saying pay for travel charges from your own pocket first. They will reimburse the amount later when we will join the office. "- That is there in most organisations. That is called re-reimbursement of actual expenses. Every company does that but some may give some amount as advance, t be adjusted when the actual expense claim is submitted.

    "whether a company can forcibly transfer a employ without his consent."-- Any job will have a condition expressed or implied that employee is subject to transfer . Hence yo cannot say it is a forced transfer. Company is telling you to resign if you do not want a transfer. They may have a real compelling justification for that.

    "Our company main intension behind this is that all company employees leave their job with one month salary."- it may be just your presumption or may be true also. The company may be facing business reduction or finance problem and they may be resorting to some cost cut.
    "Please suggest the legal option for us"- I cannot give a legal option as I do not know what were the job contract terms. You can claim compensation only as per the job contract terms. The company is not making a lockout, not terminating employees, but only transferring its employee to anew work spot. That is just natural and normal..

    However what you can try is to ask for some advance for transfer travelling expenses, in case you are facing financial problems. The company may accept it on human considerations or simply reject it as they have clearly said to spend first and then get reimburse.

    It is for you to decide by evaluating your priorities and problems. You have to asses and ensure about alternative job possibility in case you think of resigning. It should not be a case of falling from the frying pan to the burning fire.

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