Can We Legally Transfer a Long-term Employee Who Declines Due to Family Issues?

Dear senior, Greetings of the day... We are transferring one of our permanent workers from one unit to another state unit. This worker has been with our company for 15 years. However, he has declined the transfer due to family problems. He has now filed a complaint with the labor department to halt the transfer. My question to our senior is whether we can forcefully transfer our permanent worker under labor law. We have not issued any appointment letter to him upon joining, but he is enrolled in our muster roll with PF, ESI, and Bonus. Please clarify.

Hi, Without any document, how was the worker placed? If you have a document such as an appointment order with a clause stating that the company reserves its right to transfer its employees to any of its other branches/units, then you can justify the transfer.

What is the legal liability and compensation that an employer is required to provide to a worker under labor law?

Dear Shivangi,

It's an indisputable judicial dictum that in the realm of employment, the transfer of an employee is an incidence of service, and the employer has the prerogative to decide, in the interest of the organization, who has to work where and for how long without detriment to the status of employment and other service conditions of the concerned employee.

However, the power of the employer to transfer their employee is not unbridled. Particularly, the provision for inter-unit transfer of employees among different units of the same organization situated in different states should be included in the certified standing orders of the establishment, service regulations, or in the appointment orders of the employee concerned. If not, it will not withstand judicial scrutiny when contested by the employee on grounds such as a colorable exercise of power, victimization, etc.

Please check these things.

I agree with Mr. Umakanthan. We transferred staff from one factory to another. As far as the appointment letter is concerned, proof of wage payment is sufficient to establish the date of joining and the employer-employee relationship. Appointment letters can be issued now as well, in my opinion, which should be done.

Regards, Col. Rathi

Yes, workers can also transfer from one unit to another unit or another company if both are under the same management (parent company). PF contribution and wage/salary slip serve as evidence of working. If the appointment letter has not been issued to date, it will be issued now also.

Thanks,
Bhupender Soni