Kathmandu: The Insurance companies have started transferring employees by misinterpreting the instructions of the Insurance Board(IB). Last month IB had issued a circular to all insurance companies to submit a succession plan and implement the job rotation after its observation found that large number of employees are stuck to a single department for more than a decade.
As per the industry sources, some companies have transferred employees working in Kathmandu to remote areas like Humla, Jumla on the basis of this directive. The affected employees have even complained to the IB. The employees informed us that such action has been taken completely being biased to the employee. The IB had directed to prepare a successor so that any HOD could be replaced by another staff member when he/she resigns or goes on leave for a long period of time.
Following the complaints of the employees, the IB has instructed all the companies to prepare a succession plan as per the instructions and submit it after getting it approved by the BODs. The IB is in the process of taking necessary action after looking at the plan. It has issued a circular to all the companies on Tuesday instructing them to submit succession plan and job rotation plan.
It has been found that employees who are close to the top level of management enjoy working for long period in the most important departments like underwriting, claims, policy servicing, reinsurance, investment and finance. Such tendency discourages other aspirants who aim to get knowledge of the important department of the insurance industry for their career growth.