HR audit is safeguard of the company labor well-being

HR audit is a relatively new type of service in the Ukrainian consulting market. It attracts an increasing attention due to frequent inspections and introduction of stronger penalties for violation of HR matters.  Only experienced independent experts will be able to assess efficiency of HR management, identify weaknesses and outline ways out of crisis situations.

Кадровий аудит

HR audit – your internal doctor

Human resources audit is a set of measures to assess provision of personnel records in the company, including verification of availability of all necessary personnel documentation and its examination for compliance with Ukrainian legislation.

Not all business entities pay due attention to HR records, which leads to a mess in documentation and possible disputes with the workforce. Human resources audit will establish the reasons for such situation, completely correct the situation and give recommendations for further effective work.

The main purpose of human resources audit is:

  • minimization of potential fines and penalties imposed after inspection of compliance of personnel records with labor legislation;
  • elimination of labor disputes;
  • increase in labor productivity.

When do you need human resources audit?

It is feasible to use HR audit service in the following cases:

  • another state audit is due;
  • company manager or HR experts has been replaced;
  • staff reduction is planned;
  • it is necessary to improve manageability of remote subsidiaries or branches;
  • disputes on hiring or training of personnel have arisen;
  • optimization of activity is required;
  • labor legislation has been changed.

Highly qualified experts in the shortеst term will check HR records keeping and prepare your company to these and other events.

What does the HR audit involve?

Human resources audit is associated with the study of all HR documents.  This is a kind of independent expert assessment of personnel workflow, which includes:

  • verification of documentation correctness and its compliance with the legislation of Ukraine;
  • review of execution of labor contracts with subordinates and maintenance of their work record books;
  • review of primary documents for correct execution, including all orders, memos, instructions and other documents;
  • legality check of documents approval, related to personnel training and its professional development;
  • analysis of documents registration for foreign workers, in particular, availability of work permits;
  • control over payments for temporary disability;
  • control over the correct calculation of payment for overtime hours.

In addition to the above points, FChain will provide support and other services under the existing contract on HR audit.  This can be a comprehensive audit, including control over payment of wages or the formulation of agreements with individuals, and analysis of individual focal areas.

Results of HR audit

The result of HR audit is contained in the relevant report, where, in addition to the errors found, summary on the status of HR record management and recommendations for its further management are given.  Such report will help the client to bring the documents in order within a short time, following our detailed recommendations.

HR audit is a deep analysis of the company’s work with careful study of selected documents.  And we really mean it:  all shortcomings we find are confirmed by references to the norms and standards and explanations of state agencies.

Mandatory Personnel Documents

The primary responsibility for the lack of mandatory staff documents is born by the company head, so when carrying out HR audit, the first thing to check is availability of these documents in the company.

Conditionally necessary personnel documents are divided into two groups:

Documentation, mandatory for all companies regardless of their area of activity and company’s form of incorporation.

This includes all the documents prescribed in the labor law.  These local acts are developed by the employer itself and reflect working conditions specifically at this company.  These include: instructions, regulations, orders, labor contracts and personal cards, vacation schedules, staffing table and so on.

Documents that become mandatory under certain conditions.

Specific features of the company or a reference to document in the labor contract or other local norm are considered as certain conditions.  Among them the following can be distinguished: collective agreement, shift schedule, property accountability contract, bonus provisions and other local acts.

In the course of work, experts check availability of a specific document, correctness of its execution and compliance with the law.  Attention is paid to the storage conditions of the documents, including compliance with the storage time, correct keeping of the File Register, availability of specially designed storage spaces.

Benefits of HR audit by Financial Chain Corporation

We approach to HR audit from the perspective of importance of employees themselves in the company’s activities.   It is employees who are the cornerstones of any company, and ignoring their interests can seriously damage business. HR audit will allow analyzing company’s activities from the viewpoint of personnel. We guarantee to:

  • avoid labor disputes with employees who have applied to the law enforcement or regulatory authorities – due to us you will mitigate consequences of such complaints and prevent their occurrence in the future;
  • reduce financial losses and risks during the company check or inspection by the regulatory authorities in terms of compliance with the labor code;
  • structure a legally competent personnel policy, thus increasing productivity of personnel and efficiency of the entire company.
  • Our advantages are as follows:
  • Experience since 2002 in this area with the ability to provide services anywhere in the world.
  • An attractive price – quality ratio of the services provided
  • We assume overall responsibility for communication and interaction with governmental authorities.
  • We are directly interested in developing business of our clients, by providing them with services in prompt and efficient manner.
  • Our experts will find a way to each client and provide them with a package of services in accordance with their needs.
  • All our experts are distinguished by their professionalism and high qualification.

And the last thing – by calling us right today, you will be able to sign a contract not only for HR audit, but for full comprehensive service of your company. We will help you both with company registration and with its further support and follow up.

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