Umakanthan53
Labour Law & Hr Consultant
KK!HR
Management Consultancy
Manojkamble
Sr. Hr Executive
Korgaonkar K A
Ba,llb,mpm,dir&pm,dll&lw,d.cyber
Gargaaa
Hr Professional
+1 Other

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Hi
Employees of one company are moved to another company from Partnership Firm to Pvt Ltd company. What all necessary documents to be given to employees.
Request you to please share the draft Letter/statement as a proof of change from XYZ Technologies to XYZ Pvt Ltd.
Regards
Gargee

If it is transfer from one employer to another employer then it will be a new appointment letter with the organisation mentioning the benefit transfer clause. Also, if it is the same employer who converted from partnership firm to pvt ltd company then you need not to issue a separate letter to the employees.
Is the epf code and esi code are same ?
I agree with Manojkamble. Further, I want to add further that there should be continuity in service clause for service rendered in partnership firm to keep in tact all benefits to employees while issuing new appointment letter on new company's letterhead.
Although the partnership company has metamorphosed into the private limited company, yet the latter does not inherit the assets and liabilities of the partnership firm unless it is so specifically provided in the constitution of the company as well as in the dissolution deed of the partnership firm. So the first question is, has it been so specifically provided. Otherwise all liabilities like gratuity or leave payment etc has to be settled by the partnership firm, in deed full and final settlement and a new chapter opens in the private limited company. If there is continuity provided, then there is no issue, in deed a new order could be issued assuring the employees of continuity of service and ownership of earlier liability by the private limited company. Once the position is clarified, further details could be worked out.
Dear Gargee,
What is discernible to me from your description is that there is change in the constitution of the same entity from that of a partnership firm to that of a Private Limited Company. Therefore, there is no question of transfer of the services of the employees consequent on the change in the constitution of the entity. After the change, the employees of the erstwhile XYZ Technologies would become automatically the employees of the present XYZ Private Ltd., without any break in service or adverse changes in their service conditions. It would be enough that authenticated entries are made in the service records of the existing employees.

Dear Gargee ji,
Both the companies entity is different. Private Limited Company is registered with ROC and it's business commence from date of incorporate as stated in its incorporation certificate issued by ROC. You can not show transfer of any employee from any other company to the newly formed Private Limited Company unless there is an arrangement approved by ROC in memorandum of artical & association and by High Court.
You need to issue fresh appointment letters to those employees stating their joining date on or after the date of incorporation of the company. However, you can take the burden of previous service of them by protecting their service years in this newly formed company with specific understanding, board resolution and agreement between the company and employees.
As regards to format / drafting the appropriate letter, you need to hire a professional if you can not do it.

Appointment letter/offer letter And Transfer of services letter, if any
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