Article: Legal concerns for employers

Legal concerns for employers

Dina Bektemirova

Associate, Synergy Partners

As a rule, a company that has self-respect always tries to protect its business by properly registering labor relations with its employees. Especially it concerns management positions in the company: general directors, CFOs, boards of directors, managers, etc. There are many situations that a company may face, if labor obligations and conditions are not properly documented.

Let's give some examples. Legal risks can arise when a worker leaves for another competitor company, when two positions are substituted or combined, when the rights of the first or second signature are given to employees, when changes are made to the employment contract incorrectly, if one employee is subordinated to another, and so on.

For example, let’s consider this situation. In one company, the CFO and the CEO have the right of first signature on all payment documents. This means that the CFO and the CEO jointly oversee the financial and economic activities of the company, while signing payment documents requires the presence of both signatures. The CFO takes a long vacation for one year. The company decides to temporarily transfer the functions of the CFO to the chief accountant. In this connection, there are questions on how to provide for the responsibility and properly formalize the replacement of the temporarily absent CFO. The labor legislation of Kazakhstan permits to replace, combine and expand the work area for employees, but if certain conditions are met.

Synergy Partners is engaged in drafting any employment contracts and documents, so that the risks are reduced to zero for companies. If you have any questions regarding labor issues, feel free to contact us.