Policy vs. Act — What's the Difference?
By Urooj Arif & Maham Liaqat — Updated on March 2, 2024
A policy is a deliberate system of principles to guide decisions and achieve rational outcomes, whereas an act is a formal decision, usually a law enacted by a legislature.
Difference Between Policy and Act
Table of Contents
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Key Differences
A policy outlines principles and guidelines intended to influence and determine decisions, actions, and other matters. It serves as a framework within which decisions are made, often by organizations, governments, or other entities, to achieve specific outcomes. In contrast, an act refers specifically to legislation passed by a governmental body, such as a parliament or congress, that becomes law. Acts are formal legal documents that have been approved and enacted and are enforceable by law.
While policies can be adopted by various organizations and are not limited to governmental entities, acts are exclusively governmental and have the force of law behind them. Policies can guide the creation of acts and other forms of legislation, serving as the rationale for the legal frameworks established by governments. On the other hand, acts are the concrete realization of these policies in the form of laws.
Policies are broader in scope and can encompass general guidelines, strategies, and approaches to achieve certain goals. They do not necessarily have legal authority on their own but can influence or dictate the development of laws and regulations that do. Conversely, acts are specific in nature, detailing the legal obligations, rights, and penalties associated with compliance or noncompliance.
The development of a policy can be a consultative process involving stakeholders, public input, and expert advice to ensure that it meets the needs and goals of the organization or community it serves. Acts, however, go through a formal legislative process, including debate, amendment, and voting within a legislative body, before being signed into law by the relevant authority.
The implementation of policies often requires ongoing management and review to ensure they remain effective and relevant. Acts, once passed, become part of the legal framework and require enforcement by governmental agencies, with changes or amendments subject to additional legislative processes.
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Comparison Chart
Nature
Guiding principles and frameworks
Formal laws enacted by legislature
Source
Organizations, governments, entities
Governmental legislative bodies
Authority
Advisory or directive, not legally binding
Legally binding and enforceable
Scope
Broad, general guidelines
Specific legal obligations and rights
Process
Development can be consultative
Requires formal legislative procedure
Implementation
Managed and reviewed for effectiveness
Enforced by governmental agencies
Example
Environmental protection policy
Clean Air Act
Compare with Definitions
Policy
A strategic plan of action.
The new health policy aims to improve public healthcare services.
Act
A law enacted by congress or parliament.
The Affordable Care Act expanded access to health insurance.
Policy
Framework adopted to achieve certain goals.
The government's education policy focuses on increasing access to higher education.
Act
A formal decree by legislative authority.
The Patriot Act was enacted to strengthen domestic security.
Policy
A set of principles guiding decision-making.
The company's privacy policy outlines how it protects customer data.
Act
The process of passing legislation.
The act of making smoking in public places illegal has improved public health.
Policy
Guidelines for conduct and operations.
The environmental policy requires all projects to undergo a sustainability assessment.
Act
Legislation passed by a governmental body.
The Civil Rights Act of 1964 prohibited discrimination based on race or color.
Policy
Advisory guidelines within an organization.
The HR policy addresses workplace diversity and inclusion.
Act
A document detailing legal requirements.
The Tax Cuts and Jobs Act overhauled the U.S. tax system.
Policy
Policy is a deliberate system of principles to guide decisions and achieve rational outcomes. A policy is a statement of intent, and is implemented as a procedure or protocol.
Act
The process of doing or performing something
The act of thinking.
Policy
A course or principle of action adopted or proposed by an organization or individual
It is not company policy to dispense with our older workers
The government's controversial economic policies
Act
Something done or performed; a deed
A charitable act.
Policy
A principle of behaviour, conduct etc. thought to be desirable or necessary, especially as formally expressed by a government or other authoritative body.
The Communist Party has a policy of returning power to the workers.
It's company policy that all mobile phones are forbidden in meetings.
Act
A legal document codifying the result of deliberations of a committee or society or legislative body
Common Curiosities
Are all acts derived from policies?
Many acts are influenced by policies or the need to establish legal frameworks for policy objectives, but not all acts directly originate from specific policies.
How are policies implemented?
Policies are implemented through organizational or governmental procedures, which may include creating specific regulations or guidelines to achieve the policy's goals.
What happens if an act contradicts a policy?
If an act contradicts a policy, the act, being legally binding, takes precedence. Policies may need to be adjusted to align with the legal framework established by acts.
How are acts enforced?
Acts are enforced by governmental agencies and the legal system, ensuring compliance with the law and penalizing violations.
Can policies have legal force?
While policies themselves are not legally binding, they can influence the creation of laws and regulations that have legal force.
Can a policy become an act?
Yes, policies can guide the development of legislation, which can then be enacted as an act by a legislative body.
What role do stakeholders play in policy development?
Stakeholders, including the public, experts, and interest groups, can play a significant role in policy development by providing input, feedback, and advocacy.
What is the main difference between a policy and an act?
A policy is a set of guidelines or principles for decision-making, whereas an act is a formal law enacted by a legislative body.
How often are acts amended?
Acts can be amended whenever necessary through additional legislative processes, depending on changes in policy, societal needs, or legal challenges.
Is public input considered in the act-making process?
Public input can be considered through public hearings, consultations, and feedback mechanisms during the legislative process.
How do policies affect everyday life?
Policies shape the governance, operations, and strategies of organizations and governments, influencing services, workplace conditions, and societal norms.
What legal authority enforces acts?
Acts are enforced by the judicial system and designated governmental agencies, ensuring adherence to the law.
Who develops policies?
Policies can be developed by various entities, including governments, organizations, companies, and other institutions, depending on the policy's scope.
What is a policy review?
A policy review is an assessment of a policy's effectiveness, relevance, and impact, leading to adjustments or updates to ensure it meets its objectives.
Can an act be repealed?
Yes, an act can be repealed by passing new legislation that explicitly removes or replaces the existing law.
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Written by
Urooj ArifUrooj is a skilled content writer at Ask Difference, known for her exceptional ability to simplify complex topics into engaging and informative content. With a passion for research and a flair for clear, concise writing, she consistently delivers articles that resonate with our diverse audience.
Co-written by
Maham Liaqat