Company-Issued Cell Phone Policy Sample

Table of Contents

    A company’s cell phone policy lists the guidelines for using a company-issued mobile phone to perform a job. These are given to employees in an organization whose work requires contacting people or using mobile applications. Company-issued mobile phones are meant to be used only during working hours unless it’s an emergency.  

    Policy Brief and Purpose

    This company’s cell phone policy sets forth the rules about the usage of cell phones issued by the company. It is meant to provide clear guidelines and protocols for issuing cell phones and their usage in the organization. A company-issued cell phone policy applies differently to each employee as per their work, role, or designation.  

    The main purpose of a company’s cell phone policy is to ensure employees are aware of and adhere to the rules and regulations established by the company. Clear guidelines make sure that employees abide by the rules and use company-owned mobile phones appropriately. 

    Scope & Applicability 

    The cell phone in the policy meant the mobile phones issued by the company for official use. It applies to the exchange of messages, emails, contacting, and any other means of communication to complete the work. Personal use of company-owned mobile phones is not encouraged and must be kept to a minimum unless such use has been approved. 

    This policy applies to all employees under the organization’s employment contract. Such employees include full-time employees, consultants, and other contractors. This company’s cell phone policy is not applicable to employees who are interns or working part-time. Before accepting this policy, employees are required to sign an agreement confirming that they have agreed to abide by the policy and have understood it. 

    Policy elements

    A company-issued cell phone policy is a mobile phone owned by the company but assigned to an employee to fulfill any work requirements. Employees are expected to be professional at all times when using company-owned mobile phones and understand that the phones are issued for business purposes. 

    Eligibility for a company-issued cell phone

    As per the company-issued cell phone policy, employees who are [Level/Grade/Designation] or above are eligible to receive a company-owned cell phone. Employees whose daily work activities require the usage of mobile phones, or any mobile applications will be eligible for this policy. However, companies may deem an employee eligible for a company-issued cell phone policy at its discretion. Some companies may conduct assignments of mobile phones for a certain period to check if an employee genuinely needs a phone for their work. After the user has been reviewed, the phone is assigned. 

    Types of cell phones and plans available 

    When it comes to cell phones, there are 4 main types – BYOD (Bring Your Own Device), CYOD (Choose Your Own Device), COPE (Company-Owned, Personally Enabled), and COBO (Company-owned, Business-Only). BYOD is when employees configure their personal mobile phones with their work emails and use their own devices for work purposes. In CYOD, companies offer a range of brands or models that employees choose as their work and personal devices. COPE lets organizations have complete control over the devices, but employees can use these devices for their personal activities. COBO completely restricts the personal use of mobile devices issued by the company. Employees can only use them for business or work-related activities. 

    Regardless of the type of cell phone, there are a few common plans available: 

    • Shared plans where the data, texts, etc., are shared among multiple company-issued cell phones. 
    • International plans are for employees who travel abroad 
    • Prepaid plans allow employees to pay for services in advance 
    • Unlimited plans offer unlimited calling, texting, and data usage 

    Cell phone expenses and reimbursements 

    A company bears all the cell phone expenses. For the purchase of a mobile phone from the contractor and the phone bills incurred by the employee are reimbursed by the company. The process begins with the employee submitting all the bills incurred for using the company-issued phone to the finance department after the approvals. The finance team then reimburses the expenses and bills in the employees’ accounts. 

    Ownership of the cell phone and phone number

    All cell phones and phone numbers that have been issued by the employer are under the ownership of the company. However, in some cases, companies allow employees to own the cell phone and the phone numbers issued to them. In this scenario, the company reimburses the purchase and monthly expenses associated with the phone plan. The ownership rests with the employee and they are responsible for maintaining and managing the phone.  

    When the ownership rests with the company, the phone numbers are registered under the company’s name, and they have control over the devices. If an employee leaves the company, the phone and phone number are returned to the company. 

    Personal use of company-issued cell phones

    Personal use of company-issued cell phones depends on the specific policies and guidelines set by the company. Typically, the use of company cell phones during non-working hours is restricted or allowed to a minimum. Personal use may also be permitted in case of emergencies or urgent personal matters. While some companies may allow personal use of company-owned cell phones, there may be certain guidelines on limiting the duration or prolonged use.  

    Prohibited use of company-issued cell phones

    Personal use that violates company policies, such as accessing inappropriate content or engaging in unauthorized activities, may be strictly prohibited. Some of the other prohibited uses are: 

    • Using the company-issued cell phone for personal profit or engaging in personal business ventures that are unrelated to the organization’s operations is prohibited. 
    • Making unauthorized or excessive personal calls, texts, or video chats during working hours. 
    • Accessing, downloading, and sharing inappropriate or offensive material. 
    • Installing or using non-work-related applications, games, or entertainment platforms that are not part of the daily job responsibilities. 
    • Using company-issued cell phones to engage in activities that violate laws, regulations, or company policies. For example, harassment, discrimination, etc., are prohibited. 

    Organizations must clearly communicate the prohibited usage of company-issued cell phones in their policies and guidelines. 

    Security and confidentiality measures

    Implementing security and confidentiality measures for company-issued cell phones is important to protect sensitive information and maintain the integrity. Some measures that must be considered are: 

    • The employee is responsible for ensuring that the mobile device is password protected at all times. Setting strong passcodes or using biometric authentication to secure cell phones is recommended. 
    • Protecting the cell phone from being left unattended in public and from any kind of damage. 
    • Do not store personal, confidential, or business-related information on the company-issued cell phone that causes security issues. 
    • Take prior approval to share or store crucial information 
    • Do not share a company’s personal information from the cell phone issued by the company. 
    • Ensure regular data backups and implement remote wipes to prevent unauthorized access when a device is lost. 
    • Preventing employees to access websites that have been blocked by the company. 
    • Provide employee training and awareness on security and confidentiality measures. 

    Reporting lost or stolen cell phones 

    In case a company-issued cell phone has been lost or stolen and it carried confidential information, it must be reported immediately to the reporting manager, senior management, and the IT department. An email must also be sent to the senior management and should be dealt with as per the company’s data management policy. 

    Return of company-issued cell phones upon the termination of employment

    When an employee is leaving the company or has been terminated, the company-issued cell phone must be returned to the IT department along with the phone accessories before the last working day.

    Employee Responsibilities in Cell Phone Use

    While the cell phone bills and other expenses are the responsibility of the company, an employee is also responsible for a few things: 

    Proper use of company-issued cell phones 

    Proper use of company-issued cell phones refers to the usage of the phone as per the guidelines and rules set by the company. The issued mobile phones must only be used during working hours unless the policy allows their usage during non-working hours. It must also be used only for business purposes and not for the personal gain of the employee.  

    Care and maintenance of company-issued cell phones 

    An employee is also responsible for the maintenance and care of the company-issued cell phones. He must not leave it unattended in public and should protect it from any kind of damage. The mobile phone must be kept in a safe and private location, and he is solely responsible for any loss or damage caused to the cell phone.  

    Compliance with the policy 

    Compliance with the company-issued cell phone policy is compulsory. The policy includes rules and regulations regarding phone plans, restrictions, personal use, reimbursement procedures, and any prohibitions. Employees breaking these rules may be disciplined as per the disciplinary process of the company. 

    Reporting any policy violations or security incidents 

    Any security incidents or violations of policies must be reported to the senior management or respective managers. Security incidents must be reported to the IT department immediately and any policy violations are dealt with by HR or the top management. 

    Consequences for Non-Compliance 

    Disciplinary measures for policy violations 

    Disciplinary measures are taken against employees who violate the company-issued cell phone policy. The possible disciplinary actions taken are: 

    • A written or verbal warning received from HR or senior management 
    • Loss of company cell phone privileges or returning the phone to the company 
    • Suspension or demotion for violating the policy 
    • For severe cases, the employee will be terminated from the company 


    Legal and financial implications of policy violations 

    Some of the legal and financial implications of policy violations are: 

    • Violating the mobile phones policy, such as by unauthorized sharing or leaking of company information, can lead to data breaches, loss of intellectual property, and compromised client or customer information. This can result in legal consequences, damage to the company’s reputation, and potential lawsuits. 
    • Using cell phones for illegal activities can lead to criminal charges, fines, and legal penalties. 
    • Violating the policy can lead to the loss of licenses required to operate within the industry, fines, and penalties. 
    • Employees may be subjected to monetary fines or penalties. Also includes deductions in salary or bonuses. 
    • Employees will be responsible for covering the expenses out of their own pockets. 
    • Sometimes, an employee is held responsible for repair or replacement costs. 

    Acknowledgment of Policy 

    I have read the company-issued cell phone policy and will abide by the rules and regulations set by the company. 

    Signature___________________________Date  ____________________ 

    (Employee’s signature Date)



    1. What is a company-issued cell phone policy?

    A company-issued cell phone policy is a set of rules and regulations that define how an employee must use and maintain the phone issued by the company. It also explains its usage during working hours and non-working hours and for work/personal use as well. 

    2. Why do companies have a cell phone policy?

    Companies issue cell phones to employees whose job requires them to contact people on a regular basis or use mobile applications to complete their work. Setting a clear cell phone policy ensures that employees do not misuse the phone for inappropriate purposes or personal gain. This policy ensures that everyone uses the phone appropriately without sacrificing the quality of work. 

    3. Who is eligible to receive a company-issued cell phone?

    The eligibility for a company-issued cell phone depends on the company’s policy. It could be related to how much an employee must contact people or use mobile applications daily. It may also be about the designation or position of an employee. 

    4. Will employees be responsible for any costs associated with their company-issued cell phones?

    As long as the employee is following the rules and regulations stated in the company-issued cell phone policy, the company will be responsible for all the phone bills and expenses associated with using a phone issued by the company. 

    5. Can employees use their company-issued cell phones for personal use?

    Employees can only use the company phone for their personal use if the policy allows them to do so. Some organizations allow personal use during non-working hours or restrict it to a minimum. 

    6. What happens if an employee loses or damages their company-issued cell phone?

    When an employee loses or damages a company-issued cell phone, it must be reported immediately to the IT department or senior management. The employee may have to compensate for the loss or face legal issues, as per the policy. 

    7. Can the company monitor employees’ cell phone usage on company-issued devices?

    Companies can monitor an employee’s cell phone usage on company-issued devices. This ensures that the employee is using the phone during working hours and not using it for personal gain/inappropriate purposes. 

    8. What happens if an employee violates the company’s cell phone policy?

    If an employee violates the company’s cell phone policy, he will have to face the consequences as per the company’s disciplinary procedure. The employee may lose the privileges of using a company cell phone, may receive a warning, or can even lead to termination, depending on the severity of the case. 


    Download HR Template
    cookie image

    By clicking “Accept", you consent to our website's use of cookies to give you the most relevant experience by remembering your preferences and repeat visits. You may visit "cookie policy” to know more about cookies we use.