New Companies Code and HR aspects: what should you know?
On 1 May 2019 the new Code of Companies and Associations (the “New Code”) came into effect. Our corporate experts have highlighted the main changes from a corporate and finance perspective in our video animation available here and publications available here.
The impact of the New Code is however not limited to corporate and finance aspects. The New Code may also affect your HR practice, specifically with respect to the social status and termination arrangements of company representatives.
The New Code gradually applies and, in summary, three important dates should be distinguished:
- As of 1 May 2019 already, newly established companies (i.e. after 1 May 2019) and companies who specifically opted-in had to be compliant with the New Code;
- As of 1 January 2020, all mandatory provisions of the New Code apply. Companies who amend their bylaws after 1 January 2020 should also be fully compliant with the New Code as of the moment their amended bylaws enter into force;
- On 1 January 2024, the New Code will become applicable in its entirety. Companies will have to bring their bylaws in line with the New Code by this date at the latest.