Do I Need A Policy For That? What Exactly Is Compliance?
Written by: Canny Legal
Welcome to our Insight Close-Up series, where we delve into the most common commercial + business law services we offer our Canny business clients.
This series will focus on the following topics relevant to most business owners, and will be released monthly throughout this year:
- Service Agreements + Terms and Conditions
- Independent Contractors and Subcontractors – What’s the difference?
- Employees + Employment Agreement
- Protecting Your IP and Business Know-how
- Do I Need Policy For That? What Exactly Is Compliance?
- Do we need a business Prenup?
- What is the PPSR and how can it help my business?
- Dealing with disagreements with customers
If any of this sounds interesting, stay tuned as we’ll be letting you know when each Insight Close-Up instalment drops. But if you simply can’t wait or need advice on any of these topics now, contact our Canny Legal team today.
For now, sit back and enjoy our fifth Insight Close-Up Topic #5: Do I need a policy for that? What exactly is compliance?
Legal Information: So What Is Compliance + Why Do I Need To Know About It?
Compliance in the context of running a business, means ensuring that your business has appropriate and adequate policies, procedures and processes in place in order to conform with the laws, regulations, codes of practice, or any other standards that relate to that particular businesses goods and services, and also to its employees and internal operations.
Based on these descriptions, you can see that compliance applies in one way or another to almost all business. The difference comes however in how the compliance needs are addressed by your business.
Legal Advice for The Main Ways You Can Ensure You’re Meeting Your Businesses Internal Compliance Needs
There are three main ways you can address compliance for your business:
The first, is through written agreements, such as:
- Employment agreements
- Independent Contractor Agreements
- Service Agreements
- Terms and Conditions
The second, is through internal written policies or procedures, or by having clearly documented process for your workers to follow in providing your businesses goods and services. Examples of policies or procedures that your business might need are listed below.
The third is in ensuring that your workers – whether they are employees or independent contractors – are properly trained in the legal obligations that apply to your business, and in your businesses internal policies and procedures. Adequate training goes a long way in helping to ensure these legal obligations are upheld not only in their interactions with each other, but also in their dealings with clients, suppliers and any other contacts of your business?
Why Do I Need To Think About Compliance As A Business Owner?
By having in place the above written agreements and documentation, you should be addressing obligations under a huge range of laws and regulations that will likely impact your business, including:
- The Fair Work Act
- Superannuation laws
- WorkCover and workplace laws
- Occupational Health and Safety requirements
- Insurance laws
- The Privacy Act and Spam Act and associated regulations
- The Australian Consumer Law
- Anti-discrimination laws and regulations – including the separate legislation relating to discrimination on the base of age, disability, race and sex.
- Specific codes of practice that apply to your business
Compliance + Policies For Businesses
“I’m a start-up, at what point should I start thinking about compliance and policies for my business?”
Compliance is important for all businesses, regardless of size.
You may be a contractor or consultant working on your own, so a Service Agreement, Consulting Agreement or Terms and Conditions may address your compliance needs.
However, if you have workers, whether they are employees or contractors, you should have written Employment Agreements and Independent Contractor Agreements in place. Once you have workers within your business it is important that they are clear on their obligations in interacting within your workplace, and also with your customers, so you may want policies to address things like anti-discrimination, harassment or bullying; the wearing of professional attire; outlining obligations relating to confidentiality and appropriate use of your internal IT systems; and ensuring your employees or contractors are handing your customers’ data and personal information securely and in accordance with the Privacy and Spam laws.
If you have clients or customers, you should always have in place written Terms and Conditions or Service Agreements to help you meet relevant legal obligations in providing your goods and/or services. You will also need to ensure you have clear policies and procedures in place to keep secure any personal or sensitive information you may hold on behalf of your clients.
What Policies Should My Business Have to Avoid Legal Issues?
The types of policies and procedures you might need are wide-ranging, but generally most businesses would need documents that address the following:
- Policies to confirm you workers obligations and rights when it comes to anti-discrimination, harassment, vilification and bullying;
- Privacy policy – to address data protection under the Privacy Act and Spam Act;
- Policies confirming your standards when it comes to internet use and cyber security;
- Confidentiality policy – to ensure your employees or contractors are aware of their obligations in relation to any confidential information they are privy to in working in your business;
- Policies outlining best practice in avoiding conflicts of interest;
- Policies confirming your standards in relation to customer interactions – such as in providing friendly and reliable customer service;
- Payment and refund policies to be followed by your staff;
- Policies addressing workplace culture such as appropriate workplace attire and interactions;
- Procedures to protect workplace health and safety and what to do in an emergency;
- Policies for the use of any company motor vehicles;
- Policies addressing leave entitlements and requests for leave or flexible work arrangements;
- Policies on working from home practices or expectations; and
- Redundancy or termination of employment policies.
Can I Have My Policies Prepared By a Business Lawyer?
Yes of course!
Here at Canny Legal we take the stress out of business and can help prepare any type of written agreement or policy your business needs. This might be one or two policies, or a whole suite of them which can be paid for as a package gradually with 12 monthly instalments in order to ease the financial pressure on your business.
We are here to help and can collaborate with you to find out what your compliance needs are and how best to address these in a coast affordable and practical way.
How Canny Legal Can Help Your Business
Canny Legal is a customised legal service that meets the specific needs of your business.
Whether you need written policies or procedures, new Service Agreements or Terms and Conditions, or a review of your contracts with workers or other businesses, our business law focused team will provide you with straightforward and reliable advice and contracts.
Contact our team today to see how we can help your business!
The content of this article is for general guidance purposes only. Specialist legal advice relevant to your circumstance should be sought if required.