Is Your Company HR Compliant?

HRM is more than just hiring, firing and engaging employees; it’s about maintaining a healthy relationship between employees and the organization; it’s about keeping the organization protected legally. 

Yes, you heard it right. Based on the industry type, there are legal necessities that every organization needs to fulfil in order to stay out of the purview of industrial conflicts and tribunal claims. In other words, this is also known as HR Compliance.

• So, is your organization HR compliant?
• Are you crossing all the T’s and dotting all the I’s when it comes to employee management?
• Or are you unable to identify areas where further action and/or training is needed?

Read on to find out…

Before moving onto the heart of it all, let’s understand why it’s imperative to stay HR compliant at all times. 

Benefits of HR Compliance

• It ensures that your organization is aligned with the latest regulations and guidelines set forth by the Labor Standards Act. This comes in handy, especially if your organization is global.
• HR compliance helps guarantee that the company’s hiring practices aren’t leading to potential lawsuits or legal actions.
• It also ensures that the organization manages the compensation and benefits programs in accordance with the compensation laws, which are constantly evolving.
• Last but not least, HR compliance helps employers understand the fullest extent of the compliance obligations towards employees, allowing them to meet these requirements through an interactive model.

Now, let’s answer the question of the hour — is your company HR complaint?

1. Do You Have an Employee Handbook?

An employee handbook is one of the essential resources for both employer and employee. Simply put, an employee handbook lays down the guidance and information related to the organization’s mission, vision, values, procedures, history, and of course, benefits in a written format. In addition, it also provides accessible information about the company’s policy and practices as well as an overview of what is expected of the employees.

If you don’t have an employee handbook, the time to create one was yesterday. 

So here are some vital steps you can take to create an employee handbook: -

• Step 1: Review the current company policies and make necessary changes.
• Step 2: Create an outline of what needs to be included in the employee handbook.
• Step 3: Lay down summarized versions of every policy and procedure.
• Step 4: Keep the outline as the roadmap and add the summary statements in the appropriate sections.
• Step 5: Review and re-review the entire handbook.
• Step 6: Provide the finalized version to your legal counsel for review.
• Step 7: Select a means of publication and make it official!

2. Are Your Employees Aware of the Regulatory and Legal Requirements?

Another critical part of being HR compliant is ensuring that your employees know the regulatory and legal terms. This ensures that every employee is educated and trained before they are on board and is aware of the expectations/standards set by your organization. 

And not just that, HR compliance laws are continually evolving, so your HR compliance officer must be up to date with the latest requirements at all times — this is non-negotiable.

3. Is Your Benefits and Compensation Package Up to Date?

Based on the industry type, every position ranging from an executive to senior manager to vice-president, has a compensation bracket that needs to be adhered to. So as the representatives of your organization, the HR compliance officer or the benefits and compensation manager must be aware of the latest requirements related to retirement plans, health insurance, and other types of employee benefits. 

4. What About Non-Discriminatory Hiring? Are You Considering That?

There are stringent anti-discrimination laws laid down in the Factories and Labor Act when it comes to hiring. These Acts clearly state that discrimination in hiring, pay, and prerequisites of employment between a male and female employee engaged in the same or similar line of work are prohibited. In addition, no citizen must be discriminated against on the grounds of religion, race, caste, sex, descent, place of birth or residence.

So, ask yourself: -

• Do you know which federal, state, and local employment laws forbidding discrimination in recruitment and hiring apply to my business?
• Are my managers educated or trained about these laws?
• Does my organization have policies in place to communicate these laws to the hiring managers?
• When was the last time I analyzed the company practices concerning making employment decisions, including hiring, promotion, and training?

5. Is Your Company Compensating Employees for Off-the-Clock Work?

• Did you know that according to the Factories Act 1948, no adult can work or operate over 48 hours/week and 9 hours/day?

• And according to Section 51 of the Act, the spread over should not exceed 10-1/2 hours?

• In addition to this, Section 33 of the Minimum Wages Act, 1948 clearly states that overtime wages, paid at 2X the ordinary rates, must be paid to every worker exceeding the 48 hours weekly limit.

So, in order to stay HR compliant, make sure all employees record their working hours, including out-of-office or at-site hours. As an HR compliance manager or owner, it’s your responsibility to ensure that timecards are accurate.

Keep Up with HR Compliance

So you see how essential it is to stay HR compliant. Now, the question is — is your company compliant?

What if there’s a way, an effective, hassle-free way to ensure your organization’s HR processes are streamlined and up to date at all times?

This is where TeamNest comes into play. TeamNest, a cloud-powered service, can not only help automate your core HR processes but also ensure compliance at all times. The scalable solutions offered by TeamNest are all you need to keep everything in check ranging from attendance, leaves, expenses to payroll, engagement, and compliance.

All things HR on one platform — it doesn’t get better than this.

So if you want your company’s HR processes to be streamlined and up to date, contact a TeamNester expert @ +91-913-876-6322 or email @sales@teamnest.com.

So what are you waiting for? Get in touch with TeamNest TODAY!