Is Employee Code of Conduct Training a Requirement?
Large corporations spend an enormous amount of time and money these days providing training on their expectations for behavior on a range of issues including interactions between employees and customers, compliance with regulations, use of company resources and acting in an upstanding manner. The expectations are detailed in the company’s code of conduct. Aside from showing everyone that they are good corporate citizens, why is this deemed an important initiative? There is a regulatory basis for the training: The Sarbanes-Oxley Act of 2002 (SOX). Highly publicized corporate fraud that occurred with companies like Enron Corporation prompted swift passage of this legislation. The requirements call for more accountability by management and others for company activities. It applies to public companies and the Securities and Exchange Commission (SEC) promulgates rules to comply with SOX. With respect to training, companies are encouraged to establish codes of conduct and provide training. F
