SUBJECT:- H.R.M. TOPIC:- Job rotation, transfers, promotions & demotions. ASSIGNED BY:- Prof. Aruna Deshpande PRESENTED BY:Group members Yukti Marwah Sanket Mazgaonkar Jeet Mehta Sumit Mhamunkar Suraj Nair Roll nos. 46 47 48 49 50


Job rotation implies systematic movement of employees from one job to another. Job remains the same but employees performing them shift. Benefits: Beneficial to the organization. Workers become competent in several job. Improve inter-departmental co-operation. Motivates employees. Reduces boredom. Develop wide skills among workers. 

³The challenges of keeping a 21st century employee motivated at work are vast. Today, an organisation has very few options at hand, thanks to the ever increasing competition´. This is where µJob Rotation¶ helps. Job rotation has many advantages. One of them is that it keeps the employee interested in his work as he gets different job profiles and his work does not become monotonous. For example, if an employee falls sick or is on leave and can¶t report to work and if there is a shortage of staff on a particular day, then thanks to the practice of job rotation, an organisation has enough skilled manpower to replace the employee temporarily and take up his job. Many organisations use job rotation as a tool to curb absenteeism. The reason being, if an employee gets something new to learn, he would be more willing to report to work.  

Job Rotation in HDFC Bank  


In HDFC Bank all employees are involved in the Job Rotation Schedule. In HDFC Bank the staff gets rotated in every 6 months and the officers get rotated in every 3 years. The flexibility and consideration is given to those employees who have Physical difficulty. Job Rotation takes in bank for other new comers to show their work as per their knowledge and to avoid frauds. For Job Rotation of the employees meeting are held in every 6 months and for officers it is 3 years. The employees are been provided with the rule and regulation.

Job Rotation As A Method Of Management Development    

Job rotation is one of the internal methods of mgmt. development. Here the manager is sent through different jobs and departments on a coordinated and planned basis. This gives a broader exposure to him and enables him to understand the features of different jobs and the manner in which the problems related to them are to be tackled. Such job rotation technique can be used in case of management trainee and also in case of an existing manager due to promotion. The trainee gets actual work experience by this method. It is also useful for providing variety of job experience to executives .


Job rotation can mean that a worker performs two or more different tasks in different parts of the day (i.e.. switching between task "A" and task "B" at 2-hour or 4-hour intervals). A benefit frequently attributed to job rotation is that it improves a firm¶s ability to respond to change. For example,Japanese firms have their ability to deal with unusual operations (changes and problems). This benefit derives primarily from the broad knowledge that workers acquire of through rotation. ³multiskilled workers will cooperate with laboursaving technical change in cases where singly skilled workers will not.´

Job Characteristics Model
Job Characteristics Psychological States Work Outcomes

1.Skill Variety 2.Task Identity 3.Task Significance 4.Autonomy

1.Experienced meaningfulness

Intrinsic motivation Growth satisfaction

2.Perceived responsibility 3.Knowledge of results

Job satisfaction Job performance



Advantages Facilitates inter-departmental cooperation Wider exposure to employees Removes monotony Testing of managers abilities Disadvantages The work of departments is adversely affected Trainee manager finds it difficult to adjust himself with his new bosses It may upset the family and home life of manager if job assigned are located in different geographical areas.


Transfer is a change in job where the new job is substantially equal to the old in terms of pay, status and responsibilities. Transfer is neither promotion nor demotion but merely a horizontal or lateral movement of an employment


Production transfers A shortage or surplus of labour force is quite common in different department in plant or several plants in an organization. It is necessary to adjust such surplus and shortage so as to have adequate manpower in all departments and plants. This type of transfer is useful for regular and continuous production activities. Replacement transfer A replacement transfers is introduced when all operations of the organization are declining. The purpose of replacement transfer is to give protection to senior employees as long as possible.

Purpose for transfer 

Variation in the volume of work Providing training to employees Rectification of poor placement Satisfying personal needs of employees Meeting mutual needs of employees Meeting organisational needs Avoiding fatigue and monotony Giving punishment for negligence Providing convenience to employees

Principle of sound transfer policy 


Transfer should be made only when absolutely necessary Basis of transfers should be properly decided Large scale transfers, frequent transfer and transfers for the sake of transfer should be avoided Responsibility for initiating and approving transfer decisions should be clearly defined Transfer should not be made as a punishment or as a revenge on an employee Transfer should be made after taking concerned employee into confidence A request for transfer by an employee on sound personal ground should be considered sympathetically and granted promptly 


All transfers should be made in the best interest of the orgnisation Management should prepare a sound transfer policy An employee should be given an opportunity to appeal to an appropriate authority over the decision of his transfer. The effect of the transfer on the pay and seniority of the transferred employee should be clearly evaluated Transfer should be clearly defined as permanent or temporary The performance of the employee should be assessed impartially before transferring him.   

Versatility transfer These transfers are made in order to make employees versatile and competent through training facilities. The purpose of transfers is to offer the facility of training and development to employees. Shift transfers Industrial units normally operate in two or three shifts. Transfers of employees from one shift to another are commonly made on a rotation basis. Remedial transfer They are for the rectification of faulty placement made in the initial period. Remedial transfers are also made at the request of employees and are also called as personal transfer.

Examples :  

Job transfers generally fall into one of two categories: those initiated by management or those made in response to an employee¶s request. Transfers initiated by the employer may be necessary because of temporary workload imbalances; the need to rotate employees to limit exposure to harmful conditions; corporate restructuring; dislocations caused by job elimination or reductions in force; and demotions in response to disciplinary or performance problems. Employees may initiate a transfer because they want new or broader experience; there is friction among coworkers; they want to better use their skills; or they need accommodation for disabilities or family care responsibilities. Either way, transfers may be temporary or long-term, depending on the organization¶s business needs.



Promotion of employees from lower positions to higher positions is one aspect of personnel policy of management Promotion acts as an incentive for self development through education, training, active interest in the work assigned. Features of promotion Promotion means giving higher position An employee gets opportunity to work at a higher level Promotion is rightly treated as a reward or an appreciation of efficiency Partiality and favoritism should be avoided 


Reasons for promotion Retirement or resignation Sudden death of an employee Transfer of supervisory staff New posts may be created Open new branches, division, regional offices

Methods of Promotion 

Promotion by seniority Promotion are given as per seniority i.e. The period/ length of service of employees in the enterprise. Seniority has been defined as the length of recognized service in an org. Here the date of appointment serves as the basis of promotion. Promotion by seniority is a normal practice in government departments and banks etc. 

Promotion by merits It is an alternative to promotion by seniority. Promotion are given as per the merits of worker, which include educational qualification, experience and qualities such as honesty, sincerity and involvement in the work assigned. Management always prefer promotion by merits while employees and union demand promotion by seniority

Promotion practices in India 

In India companies normally use meritcum-seniority as the base for promotion. Professional managements prefer promotion by merits. In private sector organization, every organization has its own promotion policy. Efficiency is the main consideration as the companies have to face market competition effectively for their survival and growth. ³Rule followed in many private companies is to promote best man available.´

³Infosys employees to undergo certification for promotion´ 

Nandita Gurjar, V-P and group head (HRD), Infosys, said: "We took a relook at our performance structure, and decided that this year onwards, we will have various training certifications for our employees. Those who qualify for these certification benchmarks will be considered for higher and complex jobs." The Bangalore-based IT firm also has a bottom performance plan, according to which the poor performers are given a chance to improve their skills. "But if we see no improvement, despite all measures, we will let go of the employees´. She confirmed that some employees were asked to leave on these grounds, but declined to put a figure to it.  


Along with promotion, the terms demotion & separation are also used. Demotion is the antithesis of promotion wherein an employee is demoted to the post at a lower level. For example, a manager may be demoted as supervisor. ³Demotion is lowering of status, salary & responsibilities of an employee´.  

It is a type of punishment for serious mistakes or irregularities on the part of the employee. It is a lesser punishment as compared to dismissal. Promotions are very common but demotions are rare & used as a method of last resort. Moreover, demotion carries adverse psychological effect on the employee. 

Separation is a step ahead of demotion. It involves cessation of services of personnel from an organization. The contractual relationship comes to an end. If a parson retires, is a type of separation. However, separation is also possible before the expiry of the period of contract. In case of layoff, retrenchment, discharge or voluntary retirement, separation takes place but it is at the initiative of the employer/ management. 


Layoff ± temporary separation under specific circumstances. Retrenchment ± sort of permanent separation by an employer with due notice as per statutory provisions. The employee is also paid compensation. Discharge or dismissal ± permanent separation of an employee from the organization for violation of organizational rules (dishonesty, carelessness, drunkenness, etc). Voluntary retirement ± the employer offers attractive package of compensation to those who are willing for separation on voluntary basis. Such retirement leads to permanent separation from the job. 

In India, separations take place due to lay-offs, voluntary retirement schemes & retrenchment. Separations are common in case of loss-making ventures & sick industrial units. Even inadequate market demand leads to downsizing of production activities & corresponding separations of employees.