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Is it common or Legal for a Company to ask an employee to put in their two weeks in to resign just to apply for a job in a different department within the same company, in the same building?

  • And it's not a company that was bought out by another company? – thursdaysgeek Sep 28 at 0:07
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    Which country??? – user25792 Sep 28 at 0:40
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    A "company" cannot ask you to do anything. Who was it that actually asked you? Might be a sneaky attempt at getting rid of you. Don't do it. – gnasher729 Sep 28 at 15:39
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    Propably not common. It allows for a new contract with different (lower?) pay and new probation period. – Bernhard Döbler Sep 28 at 23:25
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    So... they want you to resign before you can apply? Like, "if we don't take you, then we don't want you to be able to go back to your old position"? That's bizarre on a number of levels. – Ben Barden Sep 30 at 17:04
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  1. It's not normal, length of service is important for lots of things. Social Security and many other statutory benefits depend on length of service in many cases
  2. It may or may not be Illegal that does depend on country, it's not a sign of a good employer in any case.
  • The company is in Texas but the headquarters is In Ohio. And I’ve been there for over a year – Mark Sep 30 at 3:24
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In some countries, it's not very uncommon. For example, in Germany, you are asked to resign before you get to sign your new contract. I had this two times already, one time for a change of working hours and the other time for a promotion.

In both cases, I added a restriction to my resignation letter to just resigned for a new contract to take effect. It was in both cases needed because you basically have to resign from your current position to get the new contract because of the size of our company in addition to the regulations by the union.

  • Your sure that sounds very odd you don't mean signing a variation of contract or are you not a permanent employee – Neuromancer Oct 2 at 21:30
  • In my case it was not really unusual because I got promoted or changed my hours. In my company (A large supermarket chain) it's usual to just get a new contract because it's easier to terminate a contract and have the new one signed immediately. But for some context our system does not offer changed or custom contracts because of regulations from our head office and the union to prevent legal troubles. So instead of writing hr to get us a change of contract it's much simplier and less time consuming than to just get a new contract done. – CentrixDE Oct 3 at 22:09
  • so there is a time when you are not employed sounds risky and open to employer abuse – Neuromancer Oct 5 at 21:12
  • thats the reasin why it should be restricted to get the new job (written in the resignation letter) I don't know much about the law in the states but if you say for example "Im resigning to start as [job desc.] on [Date XY]" it should be fightable if they tend to abuse it. I would let them sign this resignation letter of course to have the proof, that they accept it. – CentrixDE Oct 5 at 21:14
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You are doing things out of order. You need to apply for the job, and secure the job first. Once you have secured the job, then you should resign from your current position, so you can work the new position within the company. Do not ever resign from a job without having one secured already, ever.

I have done this once in the past where I landed a job in the same company, and then I resigned from the current position I was working at the time. The only difference is the new position was in a different building.

  • That’s why it’s confusing because they want you to resign before you applied for that other position within the same company – Mark Sep 30 at 3:22
  • @Mark Because its possible for them to withdraw the offer leaving you Jobless. Because you have quit, you might also be forfeiting some benefits that come along with being terminated. Waiting until you get the offer gives you a bit more security, and doesn't cost the company much. – Shadowzee Oct 1 at 23:54
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It's unusual.

Once you have a signed contract, you can resign. But not before. But even then there is downside. An internal transfer is better.

Do they do this for external people that they hire? Demand that they resign from their other job before they are able to sign the contract?

  • They don’t, every other job position that is offered here you can do an internal transfer except for that position only – Mark Sep 30 at 14:09
  • Well, they can do an internal transfer, they are choosing not to. – Gregory Currie Sep 30 at 14:47
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    @Mark you may want to revise your question with additional detail. Perhaps identifying this particular position, and/or (if you're able to ascertain it from the company's policy documents) why this particular role has such an extreme clause associated with it. Resignation prior to applying for a job seems, frankly, unbelievable to me. More likely that some communications have been crossed/misunderstood. – David Z Sep 30 at 18:10
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This is very unusual in my experience. I'm in the US, but not in Texas, and I've never heard of a situation where a company asks you to resign to take another position in the same company. I've certainly never heard of requiring someone to resign just to pursue such another position within the company.

Having done it myself, I'll say that the normal procedure (at least that I've observed and been through) is that you ask to be considered for a transfer - presumably with your supervisor's knowledge - and interview for the job just like another candidate. If you get the job, you just transfer; if not, you stay in the job you're in. (Depending on your boss and the situation, the latter possibility may be awkward, but that's getting off topic.)

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I have known of only one situation were somebody had to quit the company for what many would view as a internal transfer. In that case there was a publicly known parent company but the two jobs were in two different subsidiaries.

The issue was that the benefit packages for those two companies were vastly different: one still had a pension, the other didn't; one had a small 401(k) match, the other had a large 401(k); one had unlimited sick leave the other one had 3 days per year. The parent company spent 3 years merging the two parts of the company due to the vastly different benefits.

The rule to resign only kicked in when you were accepting the new position.

In all other cases I have either experienced, or observed, a person moving internally wasn't required or even asked to quit the company. I have never heard of having to tell the current manager when applying for a position. That notice would only happen after accepting the position.

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