Respected Sir,
My former employer a software services company with offices in India and U.S.A reduced my salary and designation in the last month of my employment without formally signing an agreement with me. I worked for this company from 16 August 2005 to 17 April 2009. The salary for the month of March 2009 was reduced up to 40% without taking a formal acceptance from me. Also the designation has been reduced.
How I came to know?
I was not given the salary slip for March 2009. Since the amount deposited in my bank account was higher than usual I did not suspect of any wrong doing.
I resigned from the company in April 2009 and joined another company in May 2009. I got this new job based on the salary and designation in my former employment for the past year full. As part of the routine my current employer did a background check and later quizzed me that the salary and designation I had communicated to my current employer did not match with the information given by my previous employer when they checked. I wrote to my former employer asking for clarification and he replied by quoting the reduced salary and designation.
His reply had the following documents attached
1. A covering letter mentioning my reduced salary and designation.
2. An email message from him supposedly accepted by me acknowledging the reduction in salary and designation. I do not recognize this email. My employer had the privilege to setup email exchanges between the employees of the company and I suspect he exercised this option in this case to create this email.
3. A one-sided letter of revision stating the new salary and designation. This document does not contain my signature. The column for employee signature is blank. It carries the signature of the HR manager. Again I am unaware of this document and this is proved by the absence of my signature.
4. Salary slips for March 2009 and April 2009. This reflects the slashed salary. I have seen these for the first time.
Now I have the Form-16 to prove the higher salary paid for the year and have submitted it to my current employer. I also have the HDFC Bank account statements that prove the monthly salary deposited matching with the higher pay structure.
I want my previous employer to acknowledge this irresponsible act of wantonly understating the credentials in an attempt to hamper my career and as a honest recourse provide clarification to my current employer on the facts of the employment period. Also I wish to claim the unpaid wages for the ultimate month.
Questions
1. Can salary revisions be done based on email exchanges? Should there not be a signed agreements for salary and designation revision especially when it is to the lower side?
All my past revisions (promotions and upward salary revisions)were agreed upon by me and my employer on a formal signed document. I wonder why this revision (40% decrement) happened without a formal agreement.
2. The salary has been slashed for the month of March 2009 and the email containing the revision was (supposedly) written to me on the 12th of March 2009. Why was the agreement sent to me on 12th day of the month when the revision was enforced on 1st of the month? Again I want to state that I do not recognize these emails purported to have been sent to me and alleged to have been accepted by me.
Please guide me on the options I have. The communication of misleading information by the previous employer has created an environment of distrust between me and my current employer.
Thanking You
MAHESH
From India, Delhi
My former employer a software services company with offices in India and U.S.A reduced my salary and designation in the last month of my employment without formally signing an agreement with me. I worked for this company from 16 August 2005 to 17 April 2009. The salary for the month of March 2009 was reduced up to 40% without taking a formal acceptance from me. Also the designation has been reduced.
How I came to know?
I was not given the salary slip for March 2009. Since the amount deposited in my bank account was higher than usual I did not suspect of any wrong doing.
I resigned from the company in April 2009 and joined another company in May 2009. I got this new job based on the salary and designation in my former employment for the past year full. As part of the routine my current employer did a background check and later quizzed me that the salary and designation I had communicated to my current employer did not match with the information given by my previous employer when they checked. I wrote to my former employer asking for clarification and he replied by quoting the reduced salary and designation.
His reply had the following documents attached
1. A covering letter mentioning my reduced salary and designation.
2. An email message from him supposedly accepted by me acknowledging the reduction in salary and designation. I do not recognize this email. My employer had the privilege to setup email exchanges between the employees of the company and I suspect he exercised this option in this case to create this email.
3. A one-sided letter of revision stating the new salary and designation. This document does not contain my signature. The column for employee signature is blank. It carries the signature of the HR manager. Again I am unaware of this document and this is proved by the absence of my signature.
4. Salary slips for March 2009 and April 2009. This reflects the slashed salary. I have seen these for the first time.
Now I have the Form-16 to prove the higher salary paid for the year and have submitted it to my current employer. I also have the HDFC Bank account statements that prove the monthly salary deposited matching with the higher pay structure.
I want my previous employer to acknowledge this irresponsible act of wantonly understating the credentials in an attempt to hamper my career and as a honest recourse provide clarification to my current employer on the facts of the employment period. Also I wish to claim the unpaid wages for the ultimate month.
Questions
1. Can salary revisions be done based on email exchanges? Should there not be a signed agreements for salary and designation revision especially when it is to the lower side?
All my past revisions (promotions and upward salary revisions)were agreed upon by me and my employer on a formal signed document. I wonder why this revision (40% decrement) happened without a formal agreement.
2. The salary has been slashed for the month of March 2009 and the email containing the revision was (supposedly) written to me on the 12th of March 2009. Why was the agreement sent to me on 12th day of the month when the revision was enforced on 1st of the month? Again I want to state that I do not recognize these emails purported to have been sent to me and alleged to have been accepted by me.
Please guide me on the options I have. The communication of misleading information by the previous employer has created an environment of distrust between me and my current employer.
Thanking You
MAHESH
From India, Delhi
More information
I was working in the Noida facility.
Another point i wish to highlight is that the HR manager was working in the same facility as I was. Is it not necessary for him to get a signoff on the new revised agreement. I was just sitting across his cabin so there was no geographical barrier stopping him from getting a signoff.
From India, Delhi
I was working in the Noida facility.
Another point i wish to highlight is that the HR manager was working in the same facility as I was. Is it not necessary for him to get a signoff on the new revised agreement. I was just sitting across his cabin so there was no geographical barrier stopping him from getting a signoff.
From India, Delhi
Dear Mahesh,
The first and foremost question that comes to mind is, On what ground is your salary and position reduced? It seems from your post that there wasn't any. If that be the case then I think this is really unfair on the part of your employer.
Secondly I am not able to understand how your bank account showed higher salary figure if your salary has been slashed.
I will discuss the options later
Regards
From India, New Delhi
10The first and foremost question that comes to mind is, On what ground is your salary and position reduced? It seems from your post that there wasn't any. If that be the case then I think this is really unfair on the part of your employer.
Secondly I am not able to understand how your bank account showed higher salary figure if your salary has been slashed.
I will discuss the options later
Regards
From India, New Delhi
They were redusing salaries of many employeed due to the economic downturn. It was communicated in all hands meeting that this was the strategy adopted. But I did not accept any revision.
The salary deposited was higher because of arrears (LTA arrears that is payed at the year end).
From India, Delhi
The salary deposited was higher because of arrears (LTA arrears that is payed at the year end).
From India, Delhi
Dear Mahesh,
Salary of an employee cannot be reduced for reasons which are beyond the control of both the employer and employee. So what happened with you is a clear case of immoral suppression by the employer. Please do consult a legal expert and take it further from there.
Regards
From India, New Delhi
Salary of an employee cannot be reduced for reasons which are beyond the control of both the employer and employee. So what happened with you is a clear case of immoral suppression by the employer. Please do consult a legal expert and take it further from there.
Regards
From India, New Delhi
Dear Mahesh,
I know I would sound harsh, but yes, the employer has a right to reduce the salary of a "non-workman" unilaterally. The legal response of the other party would be to reject the reduction, and indicate intent to revoke the contract of employment. Since there has been breach of contract by the employer, the employee could ask for compensation, but he would have to fight the matter in court.
The question of serving out the notice period, if at all, would depend on the specific terms of the contract. Unfortunately, without access to all the details, I would not be able to guide on specifics.
I can only say for sure, that you have a good case, and you should be able to satisfy your current employer with the bank documents available with you. Don't worry, not all employers are blind.
Gerry
From India, New Delhi
I know I would sound harsh, but yes, the employer has a right to reduce the salary of a "non-workman" unilaterally. The legal response of the other party would be to reject the reduction, and indicate intent to revoke the contract of employment. Since there has been breach of contract by the employer, the employee could ask for compensation, but he would have to fight the matter in court.
The question of serving out the notice period, if at all, would depend on the specific terms of the contract. Unfortunately, without access to all the details, I would not be able to guide on specifics.
I can only say for sure, that you have a good case, and you should be able to satisfy your current employer with the bank documents available with you. Don't worry, not all employers are blind.
Gerry
From India, New Delhi
Hi Mahesh,
Were you covered under Provident Fund? and was your PF ontribution reduced after reduction of salary? If it is so it is a contrvention under the PF Act.
Even if it is not so under ID Act Rule 9A emplyoer has to inform the employee all changes effecting his employmemt in advance before giving the effect of those changes.
Saurabh
From China, Leizhou
Were you covered under Provident Fund? and was your PF ontribution reduced after reduction of salary? If it is so it is a contrvention under the PF Act.
Even if it is not so under ID Act Rule 9A emplyoer has to inform the employee all changes effecting his employmemt in advance before giving the effect of those changes.
Saurabh
From China, Leizhou
Hi gerry,
I categorically refused to accept the new terms. I refused to sign the new terms and that is the reason the 'Letter of revision' does not have my signature. I recieved this 'Letter of revision' by courier after I left my former employment.
My former employer is justifying the decrement based on a email (forged by him) showing my acceptance to his crooked terms. Also please note that this email was allegdly received and responded by me on the 12th of march 2009. This email mentions the new terms (40 % decrement) and the date of enforcement of these new crooked terms is 1st of march 2009.
Is it possible to implement a decreemnet from back date? I don't think so. Like I said this email is forged and was not recieved or responded by me.
Also should such matters not be agreed upon on paper with due signatures. All previous revisions in this company have been done on paper with signature of both parties.
I am going ahead with serving him a legal notice. Please suggest some good lawyer or law firm that deals with such cases.
From India, Delhi
I categorically refused to accept the new terms. I refused to sign the new terms and that is the reason the 'Letter of revision' does not have my signature. I recieved this 'Letter of revision' by courier after I left my former employment.
My former employer is justifying the decrement based on a email (forged by him) showing my acceptance to his crooked terms. Also please note that this email was allegdly received and responded by me on the 12th of march 2009. This email mentions the new terms (40 % decrement) and the date of enforcement of these new crooked terms is 1st of march 2009.
Is it possible to implement a decreemnet from back date? I don't think so. Like I said this email is forged and was not recieved or responded by me.
Also should such matters not be agreed upon on paper with due signatures. All previous revisions in this company have been done on paper with signature of both parties.
I am going ahead with serving him a legal notice. Please suggest some good lawyer or law firm that deals with such cases.
From India, Delhi
Yes I was covered under PF. And yes since it is linked to Basic pay the contribution for the last month (march 2009) was reduced.
From India, Delhi
From India, Delhi
If the company had reduced your salary & make demotion without your consent and proper acceptances it is a big fault of the company management. You can go with legal proceedings to face the problem and can able to bring the culprits in the net. You have to contact a lawer and file a petition against the Directors of the company with full evidence.
From India, Bhopal
From India, Bhopal
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