Employee Rights
Employment Contract
New York
Can an employer change the terms of employee benefits without providing notice or obtaining consent?
I work for a small company that has recently made some changes to our employee benefits package without any prior notice or consultation with the employees. The changes include reducing the amount of paid time off, increasing the employee contribution for health insurance, and eliminating certain retirement benefits. I am concerned about the legality of these changes and whether the employer has the right to alter the terms of our benefits without providing any notice or obtaining our consent.
Answers from 1 Lawyer
Answer
Employee Rights
New York
Damien B.
ContractsCounsel verified
October 3, 2023
If you have an employment contract, the employer must adhere to the terms of that agreement. Similarly, if the company has an employee handbook, changes to benefits must align with the policies outlined therein. Courts may consider an employee handbook as a binding contract if it creates an expectation of certain benefits. If your benefits are guaranteed in a written contract or employee handbook and the employer did not follow proper procedures to make changes, you may have a claim for breach of contract. Employers are generally encouraged to provide clear communication and advance notice of benefit changes to maintain trust and compliance with legal and policy obligations. If you have any further questions, feel free to reach out.
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