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What is Transfer?

The transfer is a process of placing employees in positions where they are likely to be more effective or where they are to get more job satisfaction. In transfers, there is no change in the responsibility, designation, status, or salary. It is a process of an employee’s adjustment with the work, time, and place. The transfer may also be made as a disciplinary action.

Definitions of Transfer

According to Edwin Flippo___, “It is a change in job where the new job is substantially equal to the old in terms of pay, status, and responsibilities”.

According to Yoder and Associates___ Transfer as, “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties, responsibilities, skills needed or compensation”.

People may be transferred either because of the needs of the organization or at their own request. Quite often, the management makes remedial transfers because an individual is not performing satisfactorily in his/her present assignment, and his/her qualifications are that, management feels, would be more suitable for a different job. Sometimes, the employees request a transfer because they do not like their present work situation or because they feel that the opportunity for advancement is better in some other job/ department.

Objectives of a Transfer

  • Placing the required employee.
  • To correct incompatibilities of employees.
  • Suit the age and health of an employee.
  • To provide creative opportunities to deserving employees.
  • Train the employees for later advancement and promotion this involves actually job rotation.
  • To correct erroneous placement.
  • To place the employee in another department where he would be more suitable.

Advantages Transfer

  1. Increases motivation and productivity through avoidance of monotony.
  2. It improves supervisor-employee relations.
  3. Develops the employees for future promotions.
  4. It increases the productivity and effectiveness of the organization overall.
  5. Improves the skills of the existing employees.
  6. It provides greater job satisfaction to the existing employees.
  7. Helps to stabilize fluctuating work requirements.
  8. It remedies faulty placements.

Disadvantages of Job Transfer

  1. Adjustment problems to the employee to the new job, place, environment, superior, and colleagues.
  2. Transfers from one place to another are caused much inconvenience and cost to the employee and his family members relating to housing, education to children, etc.
  3. Transfer from one place to another result in the loss of many days.
  4. Company-initiated transfers result in a reduction in employee contribution.
  5. Discriminatory transfers affect employee morale, job satisfaction, commitment, and contribution.