Employees Resisting Transfer to Shimoga: How Should We Handle Compensation?

Dear Professionals,

Due to production requirements, we have decided to transfer some of our employees to our company located in Shimoga. However, they refuse to go to Shimoga, even though the management assures them of a salary increase and other allowances. It was clearly stated in their appointment order that they are liable to be transferred anywhere in India on a need basis. After several discussions with them, they have decided to resign from their jobs with a settlement amount.

Seeking Advice on Compensation

In this situation, the management prefers to settle with them statutorily. I seek your professional advice on whether we should opt for retrenchment compensation (since they refuse to transfer). If not, please suggest what compensation can be given to them.

Warm Regards,
Madhan

In view of the specific transfer condition in the appointment order, please inform them that in case of refusal to go and work in Shimoga, they will be treated as absent from duty, and appropriate disciplinary action will be taken, which may lead to dismissal from service. After some time, they may come with a request for compensation, and you can ask them to submit their resignation and try to settle by offering some extra amount, which should be less than the retrenchment compensation.

Regards,
N. Nataraajhan
Sakthi Management Services
HP: [Phone Number Removed For Privacy Reasons]
Email: [Email Removed For Privacy Reasons]