Under INdustrial Establishment STanding Orders Act 1946, it is mandatory to declare method of termination of employment. Offer of appointment is issued based on the registered service conditions of employees ( Service Manual) Main and Supplementary. For any change in the service manual, the same should have consent of employer,s representatives I.e. management, employee,s representatives I.e. union/association, govt. representative I.e.Labour Commissioner. To increase or decrease the notice period should have the consent of all the parties. In case there is a provision in the service manual that bothe the partie employees employer have to give notice of three months for quitin the service they have to do so or give notice pay in lieu of that. if employer gives notice of one day and ask employee to leave the company without assigning any reason, it would construed to be a industrial dispute and employee can file a writ for violation of fundamental rights and get himself reinstated pending issuance of charge sheet.
so far notice pay is concerned, notice pay means basic pay fixed for holding substantive post in a time scale. Other allowances such as DA, HRA are allowances and not pay, medical benefits, school fee reimbursements are fringe benefits and not pay. As such to my opinion when we are referin pay only (notice pay) we should co seer pay pnly. When we talk for salary we while consider salary, if we are talking wage we should consider wage.