Can the CEO work part-time?

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Published: 07/27/2016

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The choice of an additional job may be due to both the search for a higher level of income and the desire to acquire and master new work skills.

For many working citizens, the search for a job that is profitable in all respects is a standard type of work activity. At the same time, people prefer part-time or combination work.

Part-time work is considered one of the best types of employment , which has a beneficial effect on the gradual mastery of a new position or area of ​​activity. This type of labor relationship is available to almost all categories of workers (with rare exceptions). These also include persons holding the position of General Director.

• Legislation
• Possibility of combination
• Salary
• Who can't work part-time?

Regulatory regulation

Article 276 of the Labor Code of the Russian Federation allows you to formalize labor relations with the head of an organization on a part-time basis. A prerequisite for this is the permission of the property owner.

According to Art. 273 of the Labor Code of the Russian Federation, if the director is the only founder of the company and the owner of the property, the decision is made independently, permitting documents from higher authorities are not required.

Clause 3 art. 69 of the Law “On Joint Stock Companies” allows a director, including a general director, to work as a manager in other companies only after receiving written approval from the board of directors.

Federal Law No. 161 prohibits directors of unitary companies from:

• organize your own enterprises;
• work in public services;
• be an individual entrepreneur;
• work as a commercial education manager.

The exceptions are: creativity, pedagogy and scientific work.

The Law “On Banks and Banking Activities” prohibits a bank director from:

• hold the position of director in another bank at the same time;
• work in companies providing leasing services;
• be a participant in the securities market;
• work in insurance organizations.

Art. 282, 329 of the Labor Code of the Russian Federation prohibit combining labor functions for persons who fall under one of the conditions:

• work in government agencies, including regulatory authorities;
• not reaching the age of majority;
• activities involving driving;
• being in difficult, harmful production conditions.

Can a director work part-time: conditions and restrictions

In order to understand how the status of a director or general director is combined with the status of a person working part-time, you need to consider all possible options:

• the director of the enterprise he manages holds another position there (internal part-time);
• the director of the enterprise decides on additional part-time work at another enterprise in a position not related to top managers;
• The director of the enterprise is also the director of another enterprise.

According to the Labor Code (Chapter 44 of the Labor Code of the Russian Federation), a citizen of the Russian Federation has the right to work part-time. The number of employers is not limited by law. This number may also include the employer for whom the citizen has his main place of work. This is especially true for small, developing companies, in which at first the director often takes on the responsibilities of, for example, the chief accountant and human resources manager. Sometimes company managers work part-time in other organizations.

Internal part-time and combination

The director of a company can not only work part-time in his company, but also perform additional work on a part-time basis in accordance with Art. 60.2 Labor Code of the Russian Federation.

Part-time and combination are not the same thing. The combination involves other paid activities along with the main job. In this case, labor functions must be performed in one company. An additional agreement to the current contract is concluded (this may be an order for the employee to combine several areas of work). The employee continues to perform primary and additional duties. It is important that the combination does not provide for work to be done in free time from the main job. The combination is carried out during the established duration of the working day.

If you know the differences between part-time and part-time jobs, you can choose the most convenient option for applying for additional work.

On the one hand, the practice of combining jobs is more often used to formalize part-time work for ordinary workers. However, in our opinion, for the director of a small start-up company, this combination is an opportunity to simultaneously perform duties, for example, as an accountant, supplier, or personnel officer, while managing the company. This will be the most legally competent option, which does not oblige the director to work beyond the main working hours, while receiving real payment from the company’s cash desk for all the functions he performs. If this director is not the owner of the company, this option is ideal for him. If he is the owner, he may be stopped by the need to charge taxes and social contributions on all additional payments for a combination and lead to a decision to carry out this work without additional payment at the initial stage, when every ruble counts.

External part-time job

The specifics of external part-time work for a director are determined by Article 276 of the Labor Code of the Russian Federation. It provides that the head of an organization can work part-time for another employer only with the permission of the authorized body of his company, its owner or a person (body) authorized by the owner.

The law does not determine exactly how to draw up such a permit. Experts recommend enshrining the main provisions in the statutory procedure or in the text of the employment contract. The charter of a joint stock company or LLC may contain paragraphs regulating the format of employment of the general director in this position. The founders have the right to decide to include in the text of the charter a clause completely prohibiting part-time work for the manager. If violations are recorded, as a rule, disciplinary sanctions or dismissal are applied under clause 10, part 1, article 81 of the Labor Code of the Russian Federation.

In addition to strict rules, the charter may contain exceptions. For example, a director can cooperate with representative bodies of other companies in the interests of the direct employer. This situation is not uncommon in the practice of managing subsidiaries and affiliates.

In resolving these issues, the organizational and legal form of the enterprise plays an important role. A limited liability company is guided by Article 276 of the Labor Code of the Russian Federation, as well as articles of Federal Law No. 14-FZ, which prescribe the procedure for drawing up agreements. The procedure for obtaining permission to hold a second job in a joint stock company has been simplified based on Article 69 of Federal Law No. 208-FZ “On Joint Stock Companies”: powers are issued by the chairman of the board of directors.

Important: external part-time work is not permitted by law for all directors of enterprises. The following restrictions have been established:

1. The head of an organization cannot be a member of the bodies performing the functions of supervision and control in this organization.
2. Part-time work is prohibited for heads of state and municipal structures in accordance with the Federal Law of July 27, 2004 No. 79-FZ “On the State Civil Service of the Russian Federation” (Article 17) and the Federal Law of March 2, 2007 No. 25-FZ “On the Municipal service in the Russian Federation" (Article 14).
3. A ban is imposed on part-time work for top managers of unitary enterprises, if this is not related to teaching, scientific and creative work (Clause 2 of Article 21 of the Federal Law of November 14, 2002 No. 161-FZ).
4. The director of any enterprise does not have the right to be an employee (in any position) of a private security organization with which his enterprise has entered into an agreement for the provision of security services (Article 12 of the Federal Law of March 11, 1992 No. 2487–1).

If the director of the company is its only participant, then, accordingly, he does not need to obtain any permission for part-time work (paragraph 3 of Article 273 of the Labor Code of the Russian Federation). A simple procedure for registering a part-time job is used - an employment contract and the issuance of an order.

Video: sole owner - two points of view on the employment contract

How to apply for a job as a part-time director

If a person is employed as a director and intends to move to an equivalent position in another company, but remain a part-time worker in the previous one, the procedure will be as follows:

1. Termination of an employment contract. The optimal basis in this situation would be the own initiative or agreement of both parties. The procedure for dismissal in this case is no different from ordinary dismissal. The employee needs to make a final payment, taking into account the remaining days of vacation, and issue the money no later than the date of entry in the work book about the end of work.
2. Acceptance to the position of director in a second organization.
3. Documentation at the previous place of work as a part-time worker. Rehiring a former director is no different from the standard employment procedure.

Dismissal is necessary in order to give the employee a work book. It should be kept in the human resources department of the company where the main employment is registered. It is not necessary to include in the book information that the person combines work. This is at the discretion of the employee upon confirmation of a certificate from additional work confirming the existence of an employment relationship.

Can a manager work part-time at the same time in two more organizations, also as a manager (have three jobs)?

Documents for registration of a part-time director

To apply for a job as a director, you will need the following package of documents:

• passport;
• diplomas, retraining certificates and other documents related to education;
• pension certificate;
• employment history;
• permission from authorized persons to assume the position of director as a part-time director.

The HR department draws up internal documents:

• personal card;
• employment contract;
• order to take office as a part-time worker;
• protocol with the decision of the founders on appointment to the position.

Employment contract

IMPORTANT! A sample employment contract with the general director of an organization (part-time work) from ConsultantPlus is available here

The contract is concluded in the usual form and includes the same main sections as when accepting the main place of work:

• rights;
• responsibilities;
• time of rest and work;
• conditions for salary payments;
• duration of the probationary period;
• actions of the parties in possible disputes.

Its main difference is that a clause is added with a mention of working as a part-time worker. The contract can be concluded for a specific period or indefinitely.

Part-time director: how to prepare personnel records documents

Registration of a part-time general director requires the publication of the following registration documents and personnel records forms:

• minutes of the general meeting of founders (participants) on the appointment of a part-time general director, indicating the period (if necessary);
• employment contract;
• order;
• HR registration form T-2.

The procedure for filling out a personal card is given in the material “Unified Form No. T-2 - Form and Sample of Completion”.

In accordance with Art. 66 of the Labor Code of the Russian Federation, an entry about part-time work is made in the work book of the general director - part-time, if he has expressed a desire to do so.

For details on the design of work books, see the article “It is better to put a round stamp in work books.”

Part-time or combination?

The concepts of “part-time” and “combination” are similar in meaning in that they imply additional work. The fundamental difference between them is that part-time work is work performed after completion of the main one. That is, after the end of the working day, the employee works on additional tasks. And combining is the performance of all functions during working hours.

An additional contract is concluded with a part-time worker to perform work other than the main job function. The combination may not be documented or paid for. An entry about him is not made in the work book. The tasks performed during combination are often heterogeneous. For example, the director, in addition to his direct responsibilities, does his own accounting and fills out personnel documents.

Mention of part-time work must be contained in the contract and recorded in the work book, if the director needs it. It is paid additionally, the work can be the same and performed simultaneously in different companies. For example, a person works as a director in two organizations.

Possibility of combination

Employers should not forget that for certain categories of managers

restrictions are imposed - they cannot become part-time workers (Article 282 of the Labor Code).

For example, such a restriction is imposed on managers employed in state and municipal institutions (organizations). Also, members of the Board of Directors of the Central Bank do not work part-time (Federal Law No. 86, adopted in July 2002). This is due to the specifics of their work activities.

It is also necessary to consider whether the director can perform all the duties in two positions at once (does he have the time and physical capabilities for this).

The main tasks that this official solves are as follows:

• he carries out management and control of economic and financial activities;
• monitors compliance with current federal laws and the Labor Code; ensures the fulfillment of all obligations to state and municipal authorities;
• organizes and ensures effective management of a trusted legal entity (organization, enterprise, institution);
• resolves all issues related to business, financial and economic activities;
• ensures the implementation of all decisions made by the founders or the controlling body (implements them);
• monitors the safety of valuables and property belonging to the founders (employers);
• carries out executive and administrative duties assigned to him according to his position.

There is no exact list of all responsibilities of general directors in labor legislation, so it is compiled on an individual basis, but taking into account the law.

In this case, additional labor relations are documented through the signing of a separate agreement. This document can be either indefinite or urgent (time-limited) in nature.

The documentation procedure itself is standard. The only difference is the need to obtain permission for external part-time work. The concluded agreement must be approved in writing by one of the following persons:

1. Chairman of the Board of Directors;
2. chairman of the general meeting, in which all founders participated;
3. a proxy elected by the board of directors or at a general meeting.

The admission algorithm for a vacant position is standard:

1. the director submits the entire package of documents (for part-time internal work, this is not necessary) according to the list specified in Article 65 of the Labor Code;
2. the contract and job description are signed (both interested parties participate in the signing);
3. the employer issues a corresponding order (the unified form of the T-1 form is used);
4. after which, at the request of the director, a note about admission to the vacant position as a part-time worker is entered into his work book;
5. the note is also entered in his personal file.

For contracts of this type, labor legislation does not provide for a unified form.

This document is drawn up in free form, taking into account all the nuances of the manager’s work activity. For example, it is important to determine the extent of his responsibility for the employer’s property and the main job functions (powers).

It should also be taken into account that a mark in the work book is placed more often in cases of internal part-time work. If a part-time job is of an external type, it is not always recorded in this document.

How is it more profitable for the director?

Earnings received through part-time work are subject to all required contributions payable to the budget at the expense of the employer. This is beneficial to the employee. And the director who owns the enterprise should compare the benefits received from contributions to his insurance accounts with the costs that could not have been incurred. If the director is the founder of a micro-enterprise, perhaps he works alone, he performs additional functions not related to management. For example, the work of a personnel officer, accountant, manager. In such conditions, they usually do not take on several positions, receiving salaries one at a time.

Can the general director of an organization also be the chief accountant in the same organization?

Part-time work - what is it?

Part-time work is when an employee performs other work in his free time from his main job under a separate employment contract. Part-time work happens (Part 3 of Article 282 of the Labor Code of the Russian Federation):

• internal - when an employee works under several employment contracts with one employer;
• external - when an employee works simultaneously for several employers.

The number of employers is not limited by law, and if an employee manages to work in three places at the same time, then no one can prohibit him from getting a fourth job.

How do you get paid for a part-time job?

The Labor Code establishes payment for part-time work in accordance with the time worked. It cannot be more than 4 hours a day. The salary of a part-time worker is determined on the principle of equality. This provision does not provide any restrictions or advantages. A part-time worker is entitled to all allowances and benefits provided for by labor legislation. Since part-time work cannot be more than half the standard working day, the salary is directly proportional to it. It cannot be higher than 50% received at the main job.

Attention! If the company has developed regulations on bonuses for employees working part-time, they also apply!

The advisability of drawing up a part-time employment contract depends on the position of the director in the company and the place where additional work will be carried out. It is worth considering whether this is a hired manager or an owner. If the director is not the founder of the company, but works for a salary, he should seek official registration of additional functions as part-time work.

Legal regulation of part-time work

This type of labor relationship, such as part-time work, which arises as a result of the execution of an appropriate agreement, is regulated by the provisions of labor legislation. In particular, the provisions of Art. 60.1 Labor Code of the Russian Federation.

This norm indicates that a citizen, in addition to performing the duties of his position, can perform additional duties of labor significance. However, he does not do this during the main working day. This mode of employment is called part-time employment.

The special features of this type of employment are prescribed in Art. 44 Labor Code of the Russian Federation. Currently, part-time work is not prohibited. A person can enter into agreements with several companies. This suggests that the CEO also has a similar right.

Here it is worth paying attention to the fact that the legal status of the management team is reflected in a special order. Provisions of Art. 276 of labor legislation indicates that the general director has the opportunity to work part-time. At the same time, a condition is introduced that presupposes the need to obtain permission from the founders of the company to conduct such activities.

The permitting procedure is prescribed in the specified norm. It establishes that the minutes of the meeting indicate the possibility of hiring a director on a part-time basis.

Procedure for obtaining permission

Attention! The Labor Code of the Russian Federation (Article 276) states that the general director does not have the right to perform part-time duties in another organization without the written consent of the company founder. Therefore, before starting to combine work at an additional place of work, it is necessary to make sure that the owner of the organization that is the main workplace will not oppose work outside of it.

To obtain permission for part-time work, the director should prepare an application addressed to the founder or board of directors. The application is drawn up in free form; in the main part you should indicate a request to work part-time in a third-party organization. In the application you must write the name of the organization where the director plans to work part-time and his position. There is no need to provide any other information.

Before submitting an application, as practice shows, the director coordinates his plans with the founder. Often it is the founder who initiates such a combination. Often such appointments are made for subsidiaries when an employee who is intimately familiar with the company's activities is hired to fill the position.

If a company has several founders, then the decision on part-time directors is made collectively, at a meeting of owners. During the meeting, minutes should be prepared, which should be kept both in the director’s personal file and in the archive.

Attention! Our qualified lawyers will assist you free of charge and around the clock on any issues. Find out more here.

In the protocol, you can indicate either a certain period of combination, or note that this decision is valid indefinitely.

The protocol may contain references to the organization's charter or other administrative documents, which indicate information regarding part-time management. The presence of restrictions is associated with ensuring information security.

In most cases, combinations are possible for companies that are related or subsidiary enterprises, or, conversely, if the enterprises belong to different areas and cannot influence each other’s activities.

If the main place of work is a joint-stock company, then a meeting of shareholders is not required in this case; the decision is made by the chairman of the board of directors.

Possible conflict of interest

Whether the CEO can work part-time depends on the consent of his employer. This norm is contained in Article 276 of the Labor Code of the Russian Federation.

“The head of an organization can work part-time for another employer only with the permission of the authorized body of the legal entity or the owner of the organization’s property, or a person (body) authorized by the owner.”

As follows from this article, the employer’s consent is required only for external part-time work. The reason for this requirement is clear. If the CEO works in several companies at once, a conflict of interest may arise between them.

In judicial practice, there are many cases in which the head of an LLC acted in the interests of another organization where he worked part-time. For example, he entered into a lease agreement at obviously inflated rates. Or he sent employees of the first organization to expensive training at the company where he managed an educational center.

In addition, the LLC director must make the most of his skills and knowledge to ensure the successful operation of the organization he leads. And part-time activities as an employee, who spend additional time and resources, reduce his effectiveness.

On the other hand, part-time work of the general director in friendly organizations (for example, subsidiaries, affiliates, affiliates) may be required precisely in the interests of the main employer. That is why the law does not prohibit dual management, but leaves this issue to the discretion of business owners.

But if necessary, LLC participants can introduce into the charter a complete ban on concurrent directors. To a certain extent, this infringes on the manager’s labor rights, but the law does not prohibit this possibility.

If the head of the organization is the only participant in the company, then the requirement to obtain consent for part-time work does not apply to him (Article 273 of the Labor Code of the Russian Federation).

Answers to common questions

Can a CEO combine two positions at different enterprises?

The legislation of the Russian Federation does not prohibit working part-time for almost all categories of citizens, with the exception of civil servants, employees whose main job is working in difficult and dangerous conditions, as well as drivers. Based on this, the general director does not risk anything if he works additionally, with the permission of the general meeting of founders and the establishment of a work schedule for him of no more than four hours a day, or in the absence of a full-time part-time job at his main place.

It is also necessary to conclude an employment contract with the director and agree on a salary schedule in accordance with the staffing table.

How is an employee who is an external part-time worker paid?

The salary when combined will, of course, be lower than when a person is employed full time. Accordingly, when working 4 hours daily, the salary amount will be half lower than the salary of a full-time employee.

However, no one canceled all bonuses, incentives and benefits. The part-time worker has the same right to them as everyone else.

Tax on income will be deducted and the company must also transfer insurance premiums. A part-time worker is entitled to equivalent leave at the same time as at the main place of work.

Last modified: January 2021

The position of General Director obliges him to be fully involved in the process of the company's activities, bearing responsibility for every step and action taken on behalf of the legal entity. However, such a position does not give reason to believe that other work becomes unavailable in a part-time role.

To find out whether the general director can work part-time, it is worth turning to labor legislation and general federal acts related to this topic before deciding to take this step.

Results

Thus, the general director, in most cases, will indeed have the legal right to work part-time. In this case, the registration procedure itself will include the following steps:

1. To begin with, the responsible persons must draw up an additional agreement to the existing contract, if we are talking about internal part-time work. This stage is required in order to record the very fact of vesting the general director with certain additional obligations in the professional field.
2. The agreement specifies all the important nuances, including the amount of additional wages, the established work schedule, as well as other information, for example, the availability of certain benefits, privileges, etc. In addition, the agreement must include a reference to the employment contract previously concluded with the general director.
3. Next, the general director himself gets acquainted with the completed additional agreement. If he has no objections to the contents of this document, he puts his signature in the appropriate place.

Internal alignment

If we consider internal combination, then the law does not provide for any restrictions. However, internal combinations are prohibited for heads of supervisory authorities in order to avoid dependence on possible unfavorable circumstances. But the law does not prohibit a director from being a member of the supervisory (or advisory) board, since this body does not perform control functions.

It is worth noting that such restrictions apply in cases where the general director is not the owner of the organization.

Is it possible for a director to combine positions?

The head of a company, whose position may be called differently (CEO, director, president, etc.), has a special status when compared with other employees. Therefore, a reasonable question would be: “Can the general director work part-time?”

The Labor Code regulates the work of managers in a separate chapter. Among other articles there is Art. 276, which comments on the director’s ability to combine positions.

The most important limitation is external part-time work. That is, a director of a company cannot hold any position in another company unless there is special permission to do so, which can be given:

• authorized body;
• owner of the organization's property;
• an authorized person representing the owner.

Such a restriction is aimed at protecting the rights of the organization, since the owner of the company must be sure that the general director appointed by him will not harm the company itself or reduce the efficiency of its work by his actions.