I was employed by one of the reputed Pvt. sector companies in the state of Orissa. The Appointment letter given to me clearly mentioned that if the employer decides to end the service of the employee then the management would offer 3 months Basic pay as separation benefit. I was asked to leave the company on November 2013 as the management decided to wind up the department in which I was engaged as the company was not doing financially well (last heard, the company has stopped its operations due to coal linkage problems).
At the time of separation, I was offered only one month basic pay instead of 3. I was told that the new company policy states that only one months basic pay can be given. I was not aware of this policy change as long as i was employed in the company nor could I get hold of the copy later. Anyway, I had to accept the separation amount as was offered to me and also give an undertaking that I don't have any claims against the company any more.
My query is- Is it possible for a company to make changes in the employment terms and conditions after he has been employed?
Please reply.
