If the two databases are on the same server, you should be able to create a SQL statement something like this:
UPDATE Test1.dbo.Employee
SET DeptID = emp2.DeptID
FROM Test2.dbo.Employee as 'emp2'
WHERE
Test1.dbo.Employee.EmployeeID = emp2.EmployeeID
From your post, I'm not quite clear whether you want to update Test1.dbo.Employee
with the values from Test2.dbo.Employee
(that's what my query does), or the other way around (since you mention the db on Test1
was the new table......)