PHRC recommends conducting an HR audit to determine if specific practice areas or processes are adequate, legal and effective. With the results we can identify gaps and needs for improvement/enhancement in your HR practices and then prioritize these gaps in an effort to minimize lawsuits or regulatory violations.
An audit is important because it assesses recruitment and selection processes, as well as how your organization handles layoffs, terminations and retention. Audits measure the effectiveness of workplace safety measures.
Objectives of HR audit are to ensure legal compliance; help maintain or improve a competitive advantage; establish efficient documentation and technology practices; and to identify strengths and weaknesses in training, communications and other employment practices.
A majority of lawsuits are from issues related to hiring, performance management, discipline or termination. PHRC will help you so you are not found vulnerable. Additional risk areas included in an HR audit include:
Misclassification of exempt and nonexempt jobs
Inadequate personnel files
Prohibited attendance policies
Inaccurate time records
Form I-9 errors