Dear seniors, I want to ask that can employer move employee in other company payroll. Is it legal? and what about the employee gratuity in this matter?
From India, Bhopal
3From India, Bhopal
If the shifting is due to any merger or acquisition then there is no harm it it. In such cases, there will be a tripartite agreement comprising of both the companies management and the employees in which the treatment of service of the employees in the company which is acquired by another company or merged with another company, as the case may be, decided sothat retirement benefits like gratuity will not be lost to the employees. At the same time, if there is no change in management but only a few employees are shifted to the rolls of another company by way of outsourcing, then it should be viewed very seriously. Such arrangements, though becoming very common among new generation companies, should be discouraged at any cost. With this shifting the employees will become contract labour and the company for whom they continue to work will become an entity with which they will have no servant master relationship. For them the contractor or the company under whose payroll they are attached will be the master. Unless their gratuity is settled before such shifting it will be lost forever.
From India, Kannur
From India, Kannur
I think If the employee is shifted to any Sister company and with same DOJ employee in the offer letter than there wont be any deviation and issues.
From India, Hyderabad
From India, Hyderabad
The change of shifting should be under the provision of law is may be due to any merger or acquisition or closure or lay-off. There should be a tripartite agreement comprising of both the company management, employees and officer from the appropriate government. Further, the both the comany board of the managemnt should be one.
From India, Mumbai
From India, Mumbai
Dear colleague,
If your appointment letter carries the clause that your services are transferrable to company's sister company , then the management has right to transfer you but your continuity in service will not be affected,
In case of merger/acquisition , it is governed by the agreement but usually, the continuity of service is protected.
Regards
Vinayak Nagarkar
HR-Consultant
From India, Mumbai
If your appointment letter carries the clause that your services are transferrable to company's sister company , then the management has right to transfer you but your continuity in service will not be affected,
In case of merger/acquisition , it is governed by the agreement but usually, the continuity of service is protected.
Regards
Vinayak Nagarkar
HR-Consultant
From India, Mumbai
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