Transferring of an employee from one company to another can be done by using the Copy and Paste feature from the Employee Screen. You can access the screen from the Payroll tab.

Click on the Employee that you would like to move, and click "Copy."

From the Company selection drop down list, select the other company.

When asked to open the other company in a new tab, click "No."

Click "Paste" to paste the copied employee to the new company. You will be asked to enter a new Employee Code accordingly.

The employee will still exist in the other company. You can delete the employee from the other company provided that he has no payroll history.