Can a company change the terms of employment in an increment letter? In my appointment letter, the notice period was one month, but later, after around one and a half years of my appointment, through my increment letter, the company increased the notice period to three months. Is it enforceable under the law? Can a company change the terms of employment in an increment letter without modifying the appointment letter? Please advise...
From India, Chandigarh
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From India, Chandigarh
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Dear Gaur,
This is a known practice in industries by some companies. First, do not accept it if you do not agree. Signing and accepting the increment with a change in the notice period means you have agreed to the same. If you hold a key position like Manager and above, some companies may require a 3-month notice period, which should be mutual and considered as the time needed for the transfer of responsibilities by the company. My suggestion is to negotiate with the company for a 1-month notice period, which is safer. As per the law, it is your contract with the company, so be careful.
Regards,
Ukmitra
From Saudi Arabia, Riyadh
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297This is a known practice in industries by some companies. First, do not accept it if you do not agree. Signing and accepting the increment with a change in the notice period means you have agreed to the same. If you hold a key position like Manager and above, some companies may require a 3-month notice period, which should be mutual and considered as the time needed for the transfer of responsibilities by the company. My suggestion is to negotiate with the company for a 1-month notice period, which is safer. As per the law, it is your contract with the company, so be careful.
Regards,
Ukmitra
From Saudi Arabia, Riyadh
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Dear Mr. Gaur,
In general, most companies have two categories of employees, i.e., Manager and above, and below. Up to Dy. Mgr, the notice period will be one month; for Manager and above, it will be three months.
The company may decide based on the criticality of the employee/position. As far as I am concerned, if the notice period applies to both employees and employers, then I don't see any issue.
Nowadays, if organizations are highly impressed with a candidate and are willing to forgo the notice period amount, as well as clear any loans provided by the company, I believe we should prioritize Employability over notice periods, etc. In the worst-case scenario, if management no longer requires your services, they should also provide a three-month notice or payment in lieu of notice period, giving you ample time to make arrangements. Therefore, I don't see any issue if the notice period applies to both employees and employers; if it is one-sided, then there might be an issue.
With best regards,
Kameswarao
From India, Hyderabad
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In general, most companies have two categories of employees, i.e., Manager and above, and below. Up to Dy. Mgr, the notice period will be one month; for Manager and above, it will be three months.
The company may decide based on the criticality of the employee/position. As far as I am concerned, if the notice period applies to both employees and employers, then I don't see any issue.
Nowadays, if organizations are highly impressed with a candidate and are willing to forgo the notice period amount, as well as clear any loans provided by the company, I believe we should prioritize Employability over notice periods, etc. In the worst-case scenario, if management no longer requires your services, they should also provide a three-month notice or payment in lieu of notice period, giving you ample time to make arrangements. Therefore, I don't see any issue if the notice period applies to both employees and employers; if it is one-sided, then there might be an issue.
With best regards,
Kameswarao
From India, Hyderabad
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I also had a similar situation. I am not in a managerial position, but the HR manager changed the notice period from one to two months after I worked in the organization for 2 years. She did it by just issuing a letter to all the involved. But I have one question regarding one of the replies above, "Signing and giving the increment with a change in the notice period means you have accepted the same." I never signed anything and had a discussion with the HR manager whereby she said that if my superior and the head of the department agreed to let the notice period remain as one month, she would also agree based on a case-by-case issue when I resign one day. But now she is backing out even though my superior and the head of the department agreed to let the notice period remain as one month. Will I be able to fight in this case? Does not continuing to argue with her regarding the change of the notice period mean that I accept the change of the notice period from one month to two months? Thanks.
From Singapore, Singapore
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From Singapore, Singapore
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Notice Period Extension Letter Format.doc