INTERNAL TRANSFER APPROVAL WORKFLOWS

Introduction

Internal transfer approval workflows are the procedures through which an employer considers, authorises and implements the movement of an employee from one post, department, business unit, workplace or geographical location to another. In South African employment law, transfers are generally part of managerial authority, but that authority is constrained by the employment contract, workplace policies, collective agreements, the Labour Relations Act 66 of 1995 (LRA), equality principles and, in the public sector, the Public Service Act and constitutional principle of legality.

A properly designed transfer workflow helps prevent arbitrary decision-making, disguised demotions, discrimination, retaliation and disputes regarding authority.

Initiation of a Transfer

A transfer may be either employee-initiated or employer-initiated. An employee may seek relocation for career development, family circumstances, health or operational reasons. An employer may propose transfer because of restructuring, staffing requirements, operational efficiency or redistribution of functions.

The initial request should normally identify the employee, existing position, proposed destination, reasons for transfer, effective date and whether salary, status or responsibilities will change.

In the public service, section 14 of the Public Service Act 103 of 1994 regulates transfers. Recent High Court authority records that departmental policies may require transfer requests to be supported and motivated in writing and approved by the relevant delegated authority. Employer-initiated transfers without consent may additionally require consideration of employee representations and demonstration that the transfer serves the public interest.

Managerial and HR Review

The employee's line manager and receiving manager ordinarily assess operational feasibility. Human Resources should then verify:

availability of a funded vacant post;

employee qualifications and suitability;

contractual implications;

salary and benefit consequences;

applicable transfer or mobility policies;

collective-agreement requirements; and

whether proper delegated authority exists.

For public-sector employees, authority is especially important because exercises of public power must comply with the principle of legality. The Labour Appeal Court has confirmed that decisions of organs of state acting as employers may, in appropriate circumstances, be reviewed for legality.

Employee Consultation

Consultation becomes particularly important where the employer initiates the transfer. Relevant factors may include geographical relocation, family responsibilities, commuting costs, career prospects and changes in working conditions.

A transfer should not be used merely to punish an employee or evade disciplinary procedures. In SAPS, for example, applicable collective arrangements have required consideration of the interests of the service, the interests and career development of the employee, available vacancies and funding, with the final transfer decision recorded in writing.

Final Approval and Documentation

After HR and management review, the authorised decision-maker should approve or reject the transfer. The written approval should record the destination, post, reporting structure, remuneration, effective date and any conditions. Where several departments or employing authorities are involved, additional approvals may be legally necessary.

A clear written record is important because subsequent disputes often concern whether the transfer was genuinely lateral or actually involved reduced status, benefits or responsibilities.

CASE LAW

South African Police Service v Salukazana and Others (2010) 31 ILJ 2465 (LC)

Facts: An employee challenged employment consequences arising from a transfer, contending that the movement effectively reduced his employment status.

Legal Issue: Whether an employer can avoid an unfair-labour-practice claim merely by describing a change as a “transfer”.

Judgment: The Labour Court held that the substance and effect of the movement must be examined rather than its label.

Legal Principle/Ratio: If a transfer causes a reduction in status, responsibilities or employment conditions sufficient to constitute a demotion, it may fall within section 186(2)(a) of the LRA.

Significance: Approval workflows should therefore include an HR assessment of whether the proposed transfer is genuinely lateral or amounts to a demotion requiring additional fairness protections.

Mampane NO v NUPSAW [2019] ZALAC 64

Facts: The dispute concerned the relocation or transfer of an employee of an organ of state.

Legal Issue: Whether transfer disputes automatically constitute unfair labour practices under the LRA.

Judgment: The Labour Appeal Court explained that transfers are not independently listed as unfair labour practices under section 186(2).

Legal Principle/Ratio: A transfer may become legally actionable where it produces an unfair demotion, affects benefits, operates as unfair discipline or contributes to constructive dismissal.

Significance: Employers retain substantial operational discretion, but transfer decisions must remain lawful, rational and consistent with contractual and statutory rights.

Conclusion

An effective internal transfer approval workflow should include written initiation, managerial assessment, HR review, employee consultation, delegated-authority approval and formal written implementation. Employers should particularly examine whether a transfer alters status, remuneration, benefits or working conditions. South African law recognises managerial discretion over transfers, but that discretion cannot be exercised arbitrarily, discriminatorily, punitively or contrary to applicable policies and statutory requirements.