Employment continuity ensures existing employees transfer to the producer company with same terms and preserves fund trusts. Section 581N provides that officers and employees of an inter-State co-operative society employed immediately before transformation transfer to the Producer Company for the vested undertaking and continue on the same tenure, remuneration, terms, conditions, rights and benefits; those who opt out are deemed resigned; retired persons retain entitlements; provident and gratuity trusts and tax exemptions continue; and no compensation claims arise from such transfers, nor may directors or principal managers claim compensation for loss of office arising from the transformation.