What laws and standards is a CHRO accountable for? 8 requirements explained one by one

Taiwanese law has no statutory CHRO title, yet non-competes, applicant privacy, employee data, preventing trade secret offences, integrity training and whistleblowing all land on HR. This page covers the CHRO's legal and governance duties, the TWSE ESG evaluation indicators, and 8 requirements: GDPR, trade secrets, ISO 37001, the EU AI Act, AI transformation, ISO 27001, ISO 22301 and digital transformation.

Updated 2026-11-03

Direct answer: none of the Taiwanese laws or listed-company principles cited on this page creates a statutory "CHRO" or "head of HR" title; on this page the CHRO means the most senior person responsible for HR in the company. Most legal duties fall on "the employer" or "the company", and HR carries them out: a post-employment non-compete must meet the four requirements of Article 9-1 of the Labor Standards Act; recruiters may not ask for private information not needed for employment (Article 5 of the Employment Service Act); collecting employee data and transferring it abroad are governed by the Personal Data Protection Act; when an employee infringes another company's trade secrets, the company must be able to show it did its best to prevent it (Article 13-4 of the Trade Secrets Act); and for listed companies, integrity training, rewards and penalties, whistleblowing and discipline are set out in the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies. With EU staff, or when AI is used to manage people in the EU, Article 88 GDPR and Annex III of the EU AI Act also apply. A CHRO has three decisions to make: which roles and data need special control, where the evidence from hiring to exit is kept, and who owns training and whistleblowing. Remember: GDPR and the EU AI Act have no standalone certificate, and an ISO certificate is not legal compliance.

The CHRO in corporate governance: duties the rules place on HR

WhoRuleKey wordingWhat it means for the CHRO
All employersLabor Standards Act, Article 9-1; Enforcement Rules, Article 7-3A post-employment non-compete must meet four requirements, is void if any one is breached, and may last at most two years; monthly compensation may not be less than 50% of the average monthly wage at departureSign only for roles with access to trade secrets, and budget the compensation
All employersEmployment Service Act, Article 5(2)(ii); Enforcement Rules, Article 1-1No requests for private information not needed for employment; requests may not exceed what a specific purpose requires and must have a legitimate and reasonable connection with itCheck every application and background check field against what the job needs
All non-government entitiesPersonal Data Protection Act, Articles 5 and 21No use beyond what the specific purpose requires; in listed circumstances the central competent authority may restrict international transfersBe able to justify how much employee data you use and where it goes
All companiesTrade Secrets Act, Article 13-4When a company's representative or employee commits the offence in the course of business, the company is also fined; a company that did its best to prevent it can invoke the provisoRecruitment, onboarding confidentiality agreements and training need records
Listed companiesEthical Corporate Management Best Practice Principles, Article 22Regular training and awareness; combine the ethical management policy with performance appraisal and HR policy, with a clear and effective system of rewards and penaltiesIntegrity belongs in appraisal and discipline
Listed companiesEthical Corporate Management Best Practice Principles, Articles 23 and 24Confidentiality of whistleblowers, anonymous reports allowed, protection from improper treatment; clearly set and publish the discipline and appeal systemOne process for reports, investigation, discipline and appeal
Companies with EU staffGDPR, Article 88Member States may set more specific employment rules by law or collective agreement, with particular regard to transparency, transfers within a group and monitoring systems at the work placeJudge staff data and monitoring at each subsidiary under local rules
Anyone using AI to manage people in the EUEU AI Act, Annex III point 4, Article 26(7), Article 5(1)(f)AI for recruitment and selection, promotion and termination, task allocation and performance monitoring is high-risk; employers inform workers' representatives and affected workers before workplace use; workplace emotion recognition is prohibited in principleInventory the uses and your role for every AI tool HR uses

The Ethical Corporate Management Best Practice Principles are for listed companies; companies that are not public companies are not covered and can use them voluntarily. Some amendments to the Personal Data Protection Act promulgated on 11 November 2025 (including Article 21) take effect on a date set by the Executive Yuan; until then the current text applies. Whether an agreement is valid or conduct is unlawful is for legal counsel to judge case by case.

TWSE ESG evaluation: the indicators a CHRO should watch

From 2026 the ESG evaluation replaces the corporate governance evaluation and covers listed companies. The 2026 evaluation (the first) has 75 indicators across three dimensions, covers 1 January to 31 December 2026, and its results are published by the end of April 2027; the 2027 indicators were published on 30 October 2026. Apart from S-7, the indicators below have the same wording in both years.

IndicatorContent (summary)BonusRelated service
S-13Adopt and disclose a personal data protection policy and its implementation—GDPR, ISO 27701
S-7A board-approved ethical management policy, a full- or part-time unit, how it is carried out, and a report to the board at least once a year (2027 wording; split into S-7 and S-8 in 2026)—ISO 37001
S-9Detailed disclosure on the company website of the whistleblowing system for internal and external people on illegal (including corruption) and unethical conduct—ISO 37001
S-10An IP management plan linked to operating goals and its implementation, reported to the board at least once a yearOne extra point for TIPS, ISO 56001 or a similar standard with third-party certificationTrade secret protection
S-12Cybersecurity risk management framework, policy, specific programmes and resources (assessed from the annual report)One extra point for ISO 27001, CNS 27001 or similar with third-party certificationISO 27001

The indicators do not name HR, but much of the evidence comes from HR: records of processing employee data, integrity training records, records of reports received and handled, and records of confidentiality agreements and exit procedures. Whether a company scores still depends on checking each year's wording item by item. Companies that are not public companies are not evaluated and can use the indicators voluntarily.

The 8 requirements at a glance

RequirementWhat it means for the CHROIs there a certificate?
GDPR and ISO 27701EU staff data, cross-border transfers within the group and employee monitoringISO 27701 yes; GDPR has no official certificate
Trade secret protectionOnboarding confidentiality agreements, non-competes and the exit process decide whether the company's case holds up in courtThe Trade Secrets Act has no certificate
ISO 37001Integrity training, rewards and penalties and whistleblowing must show operating recordsYes, third-party certification; it does not guarantee bribery will not occur
EU AI ActAI used for recruitment, performance and task allocation is an Annex III high-risk use in the EUNo standalone certificate; ISO 42001 certification gives no presumption of conformity
AI transformationRules and AI literacy for employees using AIISO 42001 can be built alongside; certification is not EU AI Act compliance
ISO 27001People security: security duties at joining, during employment and at exit, which also evidence reasonable confidentiality measures for trade secretsYes, third-party certification
ISO 22301Who takes over when operations are disrupted must be derived from the BIA and tested in exercisesYes, third-party certification (three-year cycle)
Digital transformationHR system roll-out, organisational change and the digital skills gapPer the service page, ISO 27001 security requirements are the baseline

Requirement by requirement: what the CHRO decides, what comes first, how long it takes

Each service has its own page that answers your role’s questions one by one.

How it fits the systems you already have

New requirements should go into HR's existing recruitment, onboarding, employment and exit processes and the annual training plan, not form a second system.

Existing processWhat you already haveHow the new requirements fold in
RecruitmentApplication forms, interviews, background checksRemove fields for private information not needed for employment; first decide whether recruitment AI is an EU AI Act Annex III use
OnboardingEmployment contract, confidentiality agreementCombine the NDA, IP ownership, non-compete and security commitments into one onboarding document; sign non-competes only for roles with access to trade secrets
Annual trainingInduction and annual trainingPut integrity, trade secrets, security, privacy and AI literacy in one annual training plan and keep sign-off records
ExitExit formalities, return of equipmentOne checklist covers returning devices, disabling access and signing the exit declaration; logs and classification must exist before anyone resigns
Discipline and appealsRewards and penalties rules, grievance channelsAdd integrity appraisal, whistleblower protection and discipline and appeal under Articles 22 to 24 of the ethical management principles
Ethical management unitAnnual report to the board (Article 17 of the principles)Add statistics on training, reports and discipline to the same report

The listed-company principles do not cover companies that are not public companies, which can use them voluntarily. For each service, see: GDPR and privacy, ISO 27701 consulting, Trade secret protection programme, ISO 37001, EU AI Act consulting, ISO 27001 consulting.

How Winners Consulting works

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Which named clients has Winners served in ISO 27701:2025 PIMS & GDPR Privacy Compliance Consulting?

  • Hypercore Fitness Center

    ISO 27001 ISMS and ISO 27701 PIMS dual-certification consulting

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  • 卓元科健 (Cho Yuan)

    ISO 27001 ISMS and personal data protection consulting

  • Joint Credit Information Center (JCIC)

    Internal control system integrated with ISO 27001 and TPIPAS

  • Lativ

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Other engagements are anonymised by industry under NDA.

Compliance needs all three; a consultant's value is integration

CRA, TISAX, ISO 27701 and the AI Act are not single technical problems. They are only complete when process, security technology and legal compliance all hold at the same time. Fix only one and the gaps in the other two surface during audits, incident reporting or customer due diligence, and the work has to be redone.

DimensionThe question it answersTypical gap when only this part is done
Process (management system)Who is responsible, what is done, when, where the evidence is, how it improvesTools are in place but nobody runs them on schedule, so there are no records at audit time
Security technologyHow controls are designed and how their effectiveness is verifiedDocuments are complete but the systems do not actually do what they describe
Legal complianceWhich regulation applies, which role you hold, the deadlines and penaltiesControls are built against the wrong regulation or role, so obligations are not covered

Winners' consulting team covers all three dimensions and plans regulatory scoping, process design and technical controls together, so a single body of evidence serves multiple regulations and customer requirements.

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