Code of Ethics

Dear All,

Please advise whether Code of Ethics is any sanctity under the Law. If yes, to what extent. Can person taken to the court to fulfill damages.
As we are aware that now a days, signing of COE is mandatory before joining any Company and Employee has no choice to sign. Code of Ethics normally contains everything in favour of Employer and not employee. So, COE is an one always sided.

Or this is any Company's internal document for the moral binding between Employee and Employer. Please advise.
Regards, RCT

The rules and regulations should be framed by an organisation with a view to efficiently manage the employees in their day to day activities.  As every organisation now has an exclusive HR department to handle the policy issues, one can always approach them in case of any inconsistent ethics code prescribed. 

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But my question is still unanswered. Does this Code of Ethics is enforceable by Law?

Also, I am talking in context of Proprietorship Company where all rules and regulation are on owner wish. No HR department is involved.


'code of ethics' is enforceable by the organisation if violated.  For example, if an employee is found violating certain norms, the organisation can initiate disciplinary proceedings.  If due process of law ie., principles of natural justice is followed in such proceedings, Court will not interfere.  The SC has held in several cases that the courts should not interfere in administrative functions. 

However, if unreasonable ethics code is imposed on an employee, he can seek judicial remedy, if he was affected by such code.   



Sr.Manager-human resources

1. is your company registered under Factories Act ? 2. How many employees are presently working ? what is the nature of work ?  all these questions has to be answered for proper reply. any document which should be enforced by law should be certified by appropriate authority.( if its a factory)  otherwise it dosent get legal santity.


1. No, its Sole Properietorship business. 2. Aprox. 15-16 employees are working. 3. It is an buying agency who does merchandising as per the requirement of International buyers and commission for the same.

All rules and regulation are on the wish of owner.

Regards, RCT




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