What is the difference between transfer of an employee and deputation of an employee? Whether a letter mandatory to be issued to this employee regarding this change ?
From India, New Delhi
Labour Law & Hr Consultant

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The term " transfer " implies the material change in the place or position of work as mentioned in the contract of employment without affecting the employer-employee relationship between the transferor and the transferee and the transferee i.e., the employee has no say in it.

On the contrary, " deputation " means the exchange of the services of the same employee between two employers for a predetermined period with the consent of the employee concerned. Though the aspect of supervision of the deputed employee shifts to the second employer, the disciplinary control of such deputationist still remains with the original employer only. Thus, in matters of service, the deputationist retains his lien with the original employer.

Before effecting deputation of the services of an employee to another employer, the willingness or consent of the employee concerned is essential.

From India, Salem

Dear Shri. Umakanthan Sir,

Thanks for your erudite reply. The following are my reply and what I am observing in my company.

1. Deputation of services of an employee only for a short period not more than three to six months, where this employee is eligible for Deputation allowance fixed for his grade.

2. Transfer of services of an employee for any requirement in any of our factories and branches for a work of permanent nature where this employee do not qualify for any allowances and his payroll will be shifted to that location.

3. Both changes has to be in written letter to be issued to employee clearly mentioning the location, date of joining, and and period of deputation.

From India, New Delhi

Deputation- Temporary in nature. The Office Order must state the length of time the person is deputed ie. 2/3/4.. months.

Transfer- Permanent in nature. done on grounds of administrative or own request. The Office Order will not have any time period and hence the transfer can be considered till 'further orders'.

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