Employee Refuses Transfer: How Should HR Handle Potential Legal Threats?

Dear Seniors, I have a query regarding transferring an employee. I am working as an HR in a news channel. I have issued a transfer order to an employee who is currently located in Noida and transferred to Raipur. However, he has not reported to the new office even after giving him 1 month's time. Now, he is threatening to go to the labor court if we do not let him join back in the Noida office.

Transfer Clause in Appointment Letter

We have a clause in our appointment letter stating, "During your employment with the company, you may be posted/transferred to any of the Offices/Divisions/Departments/Units of the company or to any other town/city in India without any change in the terms and conditions of the employment, at the sole discretion of the Management."

Please advise on what can be done. The management wants to terminate him but is not ready to pay him the notice period (he is a confirmed employee).

Regards, Jaya

Dear Jaya,

Steps to Address Employee Transfer Issue

Point 1: Issue a show cause letter explaining why the transfer letter was not accepted.

Point 2: Receive an explanation letter. If the management is satisfied with the explanation, then make a decision based on your circumstances.

Point 3: If an explanation letter is not provided, issue another show cause letter for not obeying company rules, and explain why termination of service is being considered.

Point 4: Even if the employee does not respond, issue the termination notice. Pay the final settlement only for the working days. If he wants a full and final settlement, require him to submit a resignation letter and comply with the notice period to receive the full and final amount.

Regards,
Regards

Jaya, there was a recent ruling. Check Labour Law Reporter issues for the last 2-3 months. One doesn't need a clause in the appointment letter to transfer an employee.