Human Resource Management

1. -RAHUL KANTAK

2. DEMOTION
 DEFINITION: The assignment of an individual to a job
of lower rank and pay usually involving lower level of
difficulty and responsibility.
 FEATURES
• The pride of the employee suffers.
• Keeps the employees alert and alive to their
responsibilities and duties.

3. TYPES OF DEMOTION
Demotion
Involuntary Voluntary Expiration
No Fault Managerial
of Performance
Trial Issue
Employee Period

4. CAUSES
 Combination of departments and Elimination of jobs.
 Inadequacy and bad performance.
 Change in technology.

5. DEMOTION POLICY
 STEPS
 Frame a clear list of rules, violation of which will lead to
employee demotion.
 Communicate the same to the employees .
 Thorough investigation of any violation.
 The discovered violation should follow an equitable application
of penalty.
 There should be a proper review.

6. SEPARATION
 It means termination of service with the organisation
for one or the other reason.
 Exited in structured and in an orderly manner.
 The employees are separated from the payroll of the
company .

7. TYPES
 Resignation
 Discharge and dismissal
 Suspension and retrenchment
 Layoff

8. RESIGNATION
 Voluntary by the employee cause of:
 Physical disability
 Health
 Better opportunities elsewhere, etc.
 Involuntary / compulsory
 When an employee is asked to put his resignation in order to avoid
termination against negligence of duty or some other charge.

9. DISCHARGE
 Permanent separation for violation of company’s rules
or for inadequate performance .
CAUSES
 Frequent causes
 Infrequent causes
 Other causes

10. DISMISSAL
 Removal on the ground of misconduct.
 Continuous absence from duty for more than five years

11. SUSPENSION
 Placing an employee in a temporary status without
duties and pay.
 Further violation of rules could result in the removal.

12. RETRENCHMENT
 Permanent termination of an employee.
 Termination as a punishment given by way of
retirement, disciplinary action, continued ill-health,
closure of business does not constitute retrenchment.
 Entitled to both compensation and gratuity.

13. LAY-OFF
 Temporary / permanent removal of an employee for
business reasons.
CAUSES
 Breakdown of machinery
 Seasonal fluctuations in market
 Loss of sales
 Shortage of resources
 Production delays, etc.