Reduction in WAGES whether permissible
The law is very well settled that any privilege, benefit or concession which is given by the employer to the employees either by customer or usage, can not be withdrawn or reduced.
In one case, the Bombay High Court has held that unilateral reduction of wages of an employee will be contrary of section 9-A of the Industrial Disputes Act providing for notice of change.
S. N. Kedare vs. Ceat Tyres of India Ltd. & Anr. 2002 LLR 143 (BOM HC)
By Dayanand N. Mangaonkar