Difference Between Company Secretary and Personal Secretary
Read about the differences between a company secretary and a personal secretary. Also, learn the roles and duties performed by them.
Izhar Ahmad26 Dec, 2023
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A Company Secretary and a Personal Secretary may seem similar, but they have quite distinct functions. A Company Secretary is a legally recognized job in a firm, but a Personal Secretary is not a legal role and is mainly concerned with supporting individuals such as businesspeople, ministers, or busy people.
Surprisingly, the Personal Secretary profession generated into the Company Secretary profession. The Institute of Company Secretaries of India (ICSI) is the Indian government's official agency in charge of overseeing and regulating the Company Secretary profession. It was founded by the Company Secretaries Act of 1980, a statute approved by Parliament (Act No. 56 of 1980). The ICSI is India's only recognized professional body in charge of producing and regulating Company Secretaries. When someone successfully joins the Institute, they are given the title of Company Secretary (CS). This title indicates their expertise in the area.Also Read- Roles and Responsibilities of Company Secretary in India
Who is a Company Secretary?
A company secretary , commonly referred to as the guardian of corporate compliance, has a specialized function to perform inside an organization to ensure that all legal and regulatory requirements are followed. They act as a go-between for shareholders, management, the board of directors, and government authorities.Role and Responsibilities of a Company Secretary
Below are a few of the important roles and responsibilities of a company secretary:Corporate Governance:
It is company secretaries who ensure that a company maintains good corporate governance. They ensure that the company observes the rules and regulations, provides advice to the board of directors on governance matters, and implements the company's policies and procedures.Following the Rules:
Company secretaries ensure that the company complies with many of the government's legal restrictions and rules. These tasks include things like reporting on a yearly basis, maintaining important records, and holding meetings of shareholders. They also keep the company abreast of any changes in the law that would affect how it operates.Supporting the Board:
Company secretaries are there to assist the company's board of directors with the tie-up, preparatory work and after-work related to meetings. They also remind the company that all legal requirements must be observed. They are like a sort of clearing house for directors. They give directors the information and guidance they need.Dealing with Shareholders:
Managing transfers of shares and payments of dividends, company secretaries are responsible for communications with shareholders. They also see that the annual general meeting (AGM) is held in order and that the rights of shareholders are protected.Who is a Personal Secretary?
A personal secretary is a person who offers individualized administrative assistance to a person, usually a businessperson or high-ranking executive. They do a variety of administrative duties and operate as a reliable assistant to make sure their employer's daily operations run smoothly.Roles and Responsibilities of a Personal Secretary
Below are the duties and responsibilities of a personal secretary:Managing the Schedule:
An employer's schedule is taken care of by a personal secretary, who makes appointments, sets up meetings, and manages travel plans. They highlight important dates and deadlines, which helps the employer to be prepared and organized at all times.Handling Communication:
A personal secretary handles all incoming and outgoing communications for his or her boss. They take care of phone calls, emails, and messages to make sure communication runs smoothly both inside and outside the organization.Supporting Daily Tasks:
A personal secretary's main responsibilities play a supporting role: they organize and protect files, create reports and presentations, organize meetings and conferences. Practical arrangements include booking venues, handling catering, and maintaining guest lists.Keeping Secrets:
Personal secretaries handle confidential information. They must keep a low profile and sensitive matters to themselves. They are a reliable sounding board for their boss, keeping secret whatever their boss wants to keep secret.Also Read- Top 8 Challenges Faced by Company Secretaries and How to Overcome Them
Company Secretary Vs Personal Secretary- Key Differences
The key differences between a personal secretary and a company secretary are:| Points | Personal Secretary | Company Secretary |
| 1. Meaning | An individual hired by busy individuals for personal tasks. | According to the Companies Act, a person meeting prescribed qualifications and performing secretarial duties under the Act. |
| 2. Qualification | No specific qualifications are required. | Must be an Associate member of the ICSI (Institute of Company Secretaries of India). |
| 3. Appointment | Appointed by busy individuals like doctors, lawyers, etc. | Appointed by the Board of Directors of the company. |
| 4. Legal Status | Has no legal status. | Possesses legal status. |
| 5. Position | Functions as the personal assistant to the employer. | Serves as the chief executive officer of the company. |
| 6. Powers | Granted limited powers by the employer. | Holds statutory and managerial powers within the company. |
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Company Secretary Vs Government Secretary Vs Secretary of Co-operative Society
People are always confused between a company secretary and a government secretary, given below are the main differences between them:| Points | Company Secretary | Secretary of Government Department | Secretary of a Co-operative Society |
| 1. Appointment | Appointed by the Board of Directors of the Company. | Appointed by the State or Central Government. | Appointed as per the Co-operative Societies rules. |
| 2. Qualification | Must be an 'Associate member' of the ICSI. | Must pass the Indian Administrative Service (IAS) Examination. | As per the rules governing Co-operative Societies. |
| 3. Status | Chief executive officer of the company. | Administrative and executive officer of the Government department. | Assists the Board of Directors of the Co-operative Society. |
| 4. Compulsion to appoint | Mandatory for companies with a paid-up share capital of ₹5 crore or more. | The appointment of a secretary for every Government department is compulsory. | Compulsory as per the rules of the Co-operative Society. |
| 5. Transfer | Cannot be transferred between companies. | Can be transferred from one department to another per government policy. | Typically, not transferable between Co-operative Societies. |
Company Secretary and Personal Secretary FAQs
Who can be a personal secretary?
To become a personal secretary, one must have great interpersonal, communication, and time management abilities.
What is the difference between a private secretary and a personal secretary?
Personal secretaries, personal assistants, and executive secretaries (office managers) are all terms used to describe private secretaries.
Who is the more powerful PM or Cabinet Secretary?
The Cabinet Secretary is undoubtedly India's most influential bureaucrat and the Prime Minister of India's right hand.
Which post is higher than secretary?
The rank of Secretary in the Government of India's Ministry Hierarchy is below that of Minister of State (MoS) and above that of Additional Secretary.
Who can suspend IAS?
Simply said, only the President of India has the authority to suspend or fire IAS officials after examining their case.
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