The Benefits of Conducting an HR Compliance Audit


As the influential management thinker Peter Drucker once famously said, “you can’t manage what you can’t measure.”

This is the first benefit of an HR compliance audit, which provides an effective method for your organisation to measure its adherence to people-related processes and legislation.

In short, are you doing what you say you do? Are there policy gaps that need to be addressed? Which areas could be improved upon?

Plan for the future

Now more than ever, it is important to understand how well your organisation is able to adapt to unplanned changes.

Particularly if you are planning to recruit more staff, or reduce your current headcount, a thorough HR compliance audit will help to ensure that your policies are fully compliant, and updated in line with current legislation.

Avoid penalties

HR compliance auditing is not a complicated process that should be restricted to large companies, although this is a common assumption.

In fact, smaller companies can safeguard themselves against regulatory non-compliance – and avoid any resulting penalties – by carrying out a simple, structured audit, and acting on its findings.

Get professional advice

An independent auditor will not only assess your organisation’s compliance from an objective point of view, giving you back precious time to spend on day-to-day business operations.

They will also make recommendations for improvements, and help you create an achievable plan to put them into practice.

How to begin an HR compliance audit

Audits can take a number of forms, and must be properly tailored to your organisation for the best results.

For example, your specific auditing requirements will depend on your company culture, industry and size.

As a helpful starting point, you can download our simple HR compliance audit template here, or contact our experienced team at Viridian HR for further guidance.

You may also be interested in reading more information about audits in one of our previous articles.

If you’d like to discuss HR compliance audits for your organisation, or you have any questions, please contact our experienced team at Viridian HR.

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