Would like to know if shift allowance can be restricted to certain levels - for Team Leaders and Above?

Hi All, I would like to know if shift allowance can be restricted to certain levels. Our company used to pay night shift allowance for everyone except the top management. We are thinking of cutting the night shift allowance from the team leader level and above now but compensate it with a salary hike. Is that okay? Or is it mandatory that team leaders should be given the shift allowance as well.

Shwetha - Night shift allowance is a benefit extended to an employee for managing the hardship of continuing with odd-office timings.
There are THREE practical thoughts:
1. If COVID-19 pandemic has effected your business operations/ made it infeasible to operate in a night / odd shifts - you may exercise discretion to discontinue shift allowances. But night shift should be disbanded for everyone. These two things should go hand in hand. It will be injustice if employees (or some of them) are being asked to report for work during night or odd shifts and they are not being paid for the hardships caused due to this, even during such times.
2. Adjusting a salary component is something fine - but employees should be kept utmost informed about this through an official letter/ e-mail communication. New salary structures may be provided to the employees and sign-off should be obtained from them. A clear FAQ document should be prepared and shared with all the effected employees alongwith such communications.
3. The above applies to all the salary/ designation bands in an Organization - please see, if your organization can reduce complexity of the situation and bring uniformity in pay policies for all the levels.

Thank you for your inputs Lekha. Helps to gain perspective.

Whether it is worker or staff or Managerial person, when they work in night shift all undergo the same physical and mental problem. Especially in manufacturing unit the shift in charge / other staff stress is more compared to workers. Hence shift allowance should be considered for all irrespective of the position.