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HR Glossary > Code of Conduct

Companies are encouraged to adopt Code of conduct document as part of their overall corporate culture because 
it provides important guidelines about how they should treat each other to build trust and mutual 
respect among colleagues. It also serves as an important reminder that everyone has responsibilities 
towards one another to maintain healthy work cultures.  
 
Companies must have a company code of conduct to be legally recognized as a company. The 
company code of conduct should be reviewed each year by the company’s chief executive officer and 
senior managers, as well as with the board of directors. A company code of conduct aims to protect 
corporate interests from external scrutiny and abuse while protecting employees’ rights and 
freedoms. 

 The introductory provisions include the following:  

  • Not making false statements about work performance
  •  Not using deceptive or misleading language in work communication
  • Not engaging in acts or practices that are likely to damage or destroy business relationships
  • Not failing to exercise reasonable care when handling confidential information 
  • Taking reasonable steps not to harm or interfere with legitimate trade relations
  • Taking reasonable measures not to disrupt lawful business transactions
  • Being open, honest, and direct in discussing matters of mutual concern. 
 
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