An employee undergoes a demotion when a decrease in salary or responsibilities occurs. Demotions are generally upheld by the courts when they have been made for the efficient management of resources or to discipline an employee. When demotion occurs, due process procedures must be followed lest demotions deny rights granted to an employee under the First, Fifth, and Fourteenth Amendments.

Voluntary reassignments can be requested by personnel for better working conditions, to work closer to their homes, for advancement or increased compensation, or to leave hostile working environments. Reduction in force (RIF) should be carried out in accordance with HR policy, which should be designed to ensure fair, efficient, and consistent procedures. Generally, courts hold that employees have no right to positions deemed unnecessary; however, reasons for RIF must be reasonable and clearly documented and the positions vacated must also be abolished.