CHAPTER TEN

PROMOTIONS,
TRANSFERS AND
SEPARATION
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 Definition and types of promotion

Promotion: is the transfer of an employee to a job

which pays more money or one that carries some
preferred status.
 the upward reassignment of an individual in an
organization’s hierarchy, accompanied by increased
responsibilities, enhanced status, and usually with
increased income, though not always so.

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 Cont’d…
Types of promotion
1. Limited Promotion: the movement of an employee
to a more responsible job within the same occupational
unit and with a corresponding increase in pay.
Upgrading - means an increase of pay on the same job
or moving to a higher scale without changing the job.
2. Dry Promotion: a promotion as a result of which
there is no increase in the employee’s pay.
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 Cont’d…
It is usually made decorative by giving a new and
longer title to the employee.
3. Multiple Chain Promotion: provide for a systematic
linking of each position to several other positions.
 identify multi-promotional opportunities through
clearly defined avenues of approach to and exist from
each position in the organization.

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 Cont’d…

4. Up and Out Promotion: often leads to termination

of services.
In this type of promotion, a person must either earn a
promotion or seek employment elsewhere.
Demotion - a process by which the employee is
downgraded and sent to a lower position from the one
he is holding at present.

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 Cont’d…
an employee is moved to a job with less responsibility,
status or compensation.
 a punishment for inefficiency or incompetence.

Transfer: a movement of an employee between

equivalent positions
 It does not involve a change in responsibility and
status.

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 Cont’d…
 a lateral movement of an employee.
does not involve a change of responsibility or
compensation.
Types of transfer
General transfers : when all employees having
completed a given period of service in a post or at a
place are involved.

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 Cont’d…

Production: normally made from one department to

another where the need for the employee is more.
made to avoid lay-off of efficient and trained
employees
Replacement: are transfers of long-service employees
to similar jobs in other departments where they replace
or ‘bump’ employees with shorter service.

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 Cont’d…

Shift: are transfers of workers from one shift to another

on the same type of work.
Remedial: are transfers made to remedy some
situation primarily concerned with employee on the job.
 provide management with a procedure whereby an
unsatisfactory placement can be corrected.
Versatility: is to increase the versatility of the employee
by shifting him from one job to another.
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 Cont’d…
the employee is provided a varied and broad job
experience.
Punishment or Penal: is made as punishments to
erring employees.
a trouble-maker may be transferred to a remote
branch where he cannot continue his activities.
Request or Personal: is done on the request of the
employee.
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 Cont’d…
done on humanitarian grounds to help the employee
to look after his family and personal problems.
Mutual: when transfers turn out to be mutual between
two employees they are referred to as mutual transfers.
 usually the organization concedes to request of
employees for transfer if another employee is willing to
go to the other place.

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 Separation

1. Resignation: is a voluntary separation.

when a termination is initiated by the employee
himself, it is termed a resignation.
2. Discharge: involves permanent separation of an
employee from the organization because of poor
performance, violation of rules or poor code of conduct.
A discharge becomes necessary when:

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 Cont’d…
The business volume is reduced thereby reducing the
employment opportunities in the organization,
The employee fails to work according to the
requirements of the job, or
 The employee forfeits his right to a job.

3. Dismissal: initiated by the organization, it is termed

as dismissal.

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 Cont’d…
A dismissal is the termination of the services of an
employee by way of punishment for some misconduct,
or for prolonged absence from duty.
A dismissal is a drastic step.
 It is generally done as a last resort after all attempts
at reconciliation have failed.

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 Cont’d…

4. Retrenchment: is termination of service due to

redundancy.
It is a permanent termination of the services of an
employee for economic reasons in a going concern.
 It must be noted that termination of services as a
punishment given by way of disciplinary action or
superannuation or continued ill health does not
constitute retrenchment.
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 Cont’d…

5. Layoff: refers to an indefinite separation of the

employee from the pay roll due to factors beyond the
control of the employer.
The employee is expected to be called back in the for
seeable future.
 The laid-off employee is not a discharged employee
and is still carried on the roll as an employee.

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