Primary functions of HR audits

Compliance of HR strategies and procedures

It's an important HR responsibility, but it's also one of the most underrated. HR compliance broadly refers to ensuring that your HR policies and procedures comply with all applicable laws, ethics and regulations and to update them. Also, it is important for HR procedures to be compliant with the company's goals and values, as well.

HR noncompliance could lead to disputes at work or lawsuits. Yes, it can be difficult for an organization to ensure that all of its legal obligations are fulfilled, so HR must therefore be adequately resourced to fully comprehend the organization’s obligations and recognize areas where additional action and training are needed to achieve compliance.

Furthermore, HR compliance provides a structure for setting guidelines in HR management. It not only safeguards employees' interests and prevents exploitation but also ensures the efficient functioning of the organization.

Laws prohibit discrimination based on color, race, gender, or ethnic origin. Laws forbid discrimination based on age or disabilities. The minimum wage for employees, overtime pay, the number of hours worked per week, meal breaks, and other basic rights are all defined by wage and hour legislation. Laws mandate maternity leave.

…And we should all be careful and respect them.

Hiring procedures (recruitment, selection, etc.)

It is important to set up a process.

Your gut feeling about an employee based on a resume or a brief meeting can be extremely wrong and result in a mistake. Go beyond first impressions and resumes by understanding the candidate's past experience, level of responsibility, cultural fit, and attitude toward the job. By adopting a structured hiring process, you’re taking the first step in positioning your business for success by attracting the right talent.

Companies that have HR departments as strategic know that the hiring process is more than just recruiting the right candidates to fill a vacancy; it's about finding A-players who will positively impact the entire company.

Training and development

Technology is evolving. Why do you think your employees won't?

One of the best ways to advance knowledge and skills is through training and development programs. Providing employees with relevant and consistent training can help improve performance and efficiency in the workplace.

The thing is - you should also have some generally accepted process. If not - it can very easily happen that you provide someone with quality training and inadvertently miss someone. It can cost you a lot.

Career planning

This one goes arm-in-arm with the previous point. Actually career planning could really help in creating the development programs, or vice versa.

Once you get to know your employee’s main goals and plans for the future - it will be much easier to help them create what achievements are necessary, and help them through that process with adequate training.

Reward system (salaries, benefits…)

A ”strategic reward management” concept is a whole thing nowadays.

It is an important part of any business, especially if you want to attract and retain hard working and productive employees.

Everyone likes rewards but it is pretty important to create clear measures and guidelines.

Employees need a clear system for rewards to show in writing how they'll be recognized for their hard work. Without a definite reward plan, disagreements can happen when employees think they've worked extra but aren't rewarded. A clear reward plan helps avoid confusion, providing both employees and management with clear rules and measures for giving out rewards.

Achieving success in organizations with HR audits

Written by

FeedbackHero team