Many have asked me, “Aunty, my company transferred me without my agreement. Is that allowed?”
Generally speaking, unfortunately, yes.
In industrial law, it’s widely recognised the company holds the authority to transfer employees across various departments, positions, branches, or even affiliated companies within the organisation. This is often outlined in employment contracts with a clause stating: “The employee is subject to transfer based on business needs.”
However…
In Section 13(3b) of the Industrial Relations Act 1967 states: “The transfer by an employer of a workman within the organization of an employer’s profession, business, trade or work, provided that such transfer does not entail a change to the detriment to a workman in regard to his terms of employment.”
Therefore, to ensure a transfer is fair and justified:
↪️ Alignment with Contract. The transfer shouldn’t conflict with the employee’s existing contract.
↪️ Legitimate Business Need. The transfer should serve a genuine business need and be conducted in good faith.
↪️ No Harassment. Transfers shouldn’t be used to harass on unfairly target employees.
↪️ Maintain Benefits. It’s advisable to preserve the employee’s current benefits post-transfer.
So, what should you do if faced with an unfair transfer?
↩️ Voice Your Concerns. Document your objections in writing, respectfully.
↩️ Seek Clarification. Politely ask for the reasoning behind the transfer.
↩️ Gather Evidence. Emails, letters, performance appraisals etc. If considering legal action, remember the burden of proof lies with you. It’s highly recommended to seek legal advice before making any decisions.
As highlighted in industrial court rulings, “Compelling an employee to work for a particular employer, without affording him a choice in the matter, is merely one form of forced labour.” That is why, it’s always wiser for employers to discuss potential transfer with employees beforehand.
Clearly communicate that the transfer is a genuine operational move, not a tactic to sideline or push out employees. Any change in role should be justified and aligned with the employee’s capabilities.
If employees raise concerns, it’s very important to address their grievances promptly.
So in summary, while transferring an employee is within a company’s rights, not all transfers are lawful. If a transfer serves as a disguised punishment or an intentional career setback, employees may have grounds for constructive dismissal.
Gitu.
xoxoxo, AuntyHR
