Can hours of work and wages be reduced to absorb the impact on the business, during the lockdown and thereafter? Is it possible for employers to pause benefits and incentives till the business situation is normalized?

[Vidyaranjan]

Yes, it is possible for an employer to reduce work hours and wages subject to following the process prescribed under law. Please refer to question 5 for the process.

An employer may also pause non-statutory benefits and postpose incentives till the business situation normalizes. In this regard, the terms mentioned in employer policy or employment agreement would have to be adhered to when postponing such merit increases.