An HR audit is a comprehensive review of current policies and procedures and the Company’s compliance with current employment legislation. The areas reviewed in an audit include; recruitment processes, performance appraisals, evaluation processes, exit interviews, benefits and compensation. It may also include an employee opinion survey.
An audit will identify the strengths and weaknesses within a Company's working practices and highlight what's missing or needs to be improved. The audit compares documentation with what's being done in practice, ensuring legal compliance and a consistent approach across the Company.
HR audits directly benefit the businesses by identifying areas of risk and any potential issues that could damage employee relations or worse, business reputation.
What happens when the audit is complete? Once completed, the findings and recommendations are put into a comprehensive business report, and then it's down to the business to review and decide which areas to focus on first. As part of our service we would continue to offer solutions and support with the entire audit process from start to finish.
Are there any indicators that an HR audit might be required? Most certainly, take a look at staff turnover, the number of grievance and disciplinary cases, the levels of sickness absence, the overtime levels and the number of Tribunal claims made against the Company - these can all indicate potential employee relation issues that can adversely affect the success of the business.
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