Anonymous
Hello Respected members,

I would like to kindly know whether an employer/company change the terms of employment (like notice period) without mutual discussion and consent from employee after the employee got promotion?

No terms and conditions change or anything similar was mentioned or communicated in the promotion letter.

Employee has not agreed to any such conditions and have not given consent or signed any agreement. The appointment letter is the only contract signed.

Another senior person told employee since he got promoted so his employment terms changed as per HR policy. No such communication or discussion is done by the HR to employee.

In HR policy it is clearly mentioned that employer and employee should do mutual discussion and employee has to come to mutual agreement and employee has to agree on the conditions. Which employee has not done(means no discussion done and no agreement given).

Please provide your valuable opinions/answers.

From India, Bengaluru
PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION
Umakanthan53
Labour Law & Hr Consultant
Saswatabanerjee
Partner - Risk Management
Advocate Prem Chanda Yadav
Silvassa. Www.lawglobalhr.com

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umakanthan53
5943

Employment is basically a contract under the Indian Contract Act,1872. Therefore, the terms and conditions of such a contract can be varied later only with the consent of the other party to the contract. This is the general rule. If such a change is unilaterally done by one party, the other party is free to foreclose the contract on this ground.

Such a situation would lead to unrest and unnecessary disputes in the case of employment contracts covering industrial workmen. Therefore, in the interest of industrial peace and elimination of exploitation, the position slightly differs when such a contract of employment is covered by any Labor Law in which case the employer's right to change the existing conditions of service to the disadvantage of the employees is restricted to some extent. For example section 9-A of the ID Act,1947 prescribes the issuance of 21 day's notice by the employer before effecting any change in respect of certain conditions of service enumerated in Schedule IV of the Act.

Equity and justice would require the same when the conditions of employment of higher Cadre employees also get unilaterally changed by the employer without any notice. Here the employee has the freedom to snap his contract, if the change is not acceptable to him. But the case of promotion is different. Promotion automatically implies not only increase in salary and perks but also enhanced responsibility and accountability. It is for the employee to accept the offer of promotion or forego it. He cannot insist on eating the cake and having it too. Normally, the terms and conditions of the higher position would be indicated in the orders of promotion and as such it has to be treated as suffice notice.

From India, Salem
Anonymous
hi Sir
the terms and conditions and information was not mentioned in promotion/appraisal letter and none was communicated in any manner. The HR policy was changed after promotion and at that time no communication was done. No discussion was done and no information was shared.

From India, Bengaluru
Anonymous
also the HR policy(which was changed later on) that both parties have to do mutual discussion and have to give consent and agreement on the terms and conditions. But no such discussion was done and no agreement was reached.
From India, Bengaluru
saswatabanerjee
2356

Change of terms of employment can happen only on mutual consent.
However, if the HR Policy has different terms of employment like notice period for different grades, then by accepting the promotion, he automatically is on the specified terms. He has accepted it when he accepted the promotion.

You may claim that he has not agreed to the terms, but by accepting the promotion and continuing working, he has accepted the terms by his actions, (Deemed acceptance) which is allowed and valid in the contract act.

The only cases where you can claim otherwise is if the employee can prove that he was never given the revised terms, or asked for but was refused or if he was never told that there are different terms for different grades of employees.

From India, Mumbai
Anonymous
the employee was never explained about new terms w.r.t grade or never communicated about the same in any form. When the promotion happened, no such things were there in the policy and the policy was updated post the promotion. There is no date of update on the policy and there are no signature of anykind on the policy also. And he was never told about new terms in any form related to grade or group. There is no mention of different notice period of different grade in HR policy. And the role and responsibilities of the promotion given are also not there in any policy as well.
From India, Bengaluru
saswatabanerjee
2356

Since you are aware of that and you know the action of the company is therefore illegal, you need to decide what course of action you wish to follow. Please see my post above. You need to decide whether it is worth for you to fight on this matter. Consider future BVG, cost of lawyers fighting the case if you go to court, etc
From India, Mumbai
Advocate Prem Chanda Yadav
10

As per available model standing They all defined As per Level/Designation with authority approval. And auto implement when level/designation got change.
From India, Mumbai
Anonymous
i do not which to file case or fight against company. I don’t want money as well. I just want to leave peacefully when my actual notice period as per appointment letter is over. I am just looking into the fact whether the employer can force me to stay and ask money by saying such things without any written agreement between me and employer?
From India, Bengaluru
umakanthan53
5943

I think the poster has been employed in managerial position. As such the contract of his employment alone can determine the mutual rights and obligations. When an employee moves up in the organizational ladder, they are bound to alter according to job requirements. As Mr.Saswat has rightly observed acceptance of promotion automatically implies the acceptance of the conditions associating the position. At times it may not be administratively possible to notify the changes personally to the individual. However, such a change in the terms of the contract cannot be one-sided and opposed to public policy. In such a situation the remedy lies in negotiation only and when it fails, the employee has to simply quit the organization. In case of any tussle in that process, the employee has no remedy other than filing a Civil Suit. The employee should remember that the employer is always a superior party to the contract. But that should not dilute the employee's moral courage to put up a tough fight against an unethical employer.
From India, Salem

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