In general terms, compliance means adhering, abiding, and conforming to an established set of rules, regulations, policies, standards, or laws. In the human resources domain, compliance is about ensuring that all organizational policies, procedures, and strategies are aligned with all applicable laws and regulations concerning labour and employment.
Considering the dynamic nature of law, employment, and labour law not being any different, HR compliance would also involve updating policies and procedures of the organization as the law evolves and regulations change. As the organization grows, it is expected that the procedures and strategies remain compliant with the country's extant laws.
Compliance is a critical HR role that is often overlooked yet very important to uphold organizational reputation, and stakeholder trust, and protect companies from fines, penalties, and lawsuits of a disgruntled employee, dissatisfied clients, and the attendant costs associated with these issues.
HR compliance in companies can only be as effective as the level of transparency and integrity exhibited by the team. This would mean open communication and consistent training, senior management buy-in as ethics and compliance champions, and equity, equality, and fairness in all processes and procedures. Here are a few tips to help HR professionals improve compliance within their organizations:
Define and document all company policies and procedures like vacation days and pay, sick days, harassment policies, performance management system, grievance procedures, and social media guidelines.
Create an employee document management system- a file for every employee with all documents required by law, accessibility requirements, classification, and retention management should all be automated to reduce compliance risk. ·
Prepare a compliance checklist – health and safety standards, AODA, PIPEDA, pay equity, review, and update it at least annually. ·
Audit HR processes, policies, and procedures regularly to ensure compliance. · Senior management must buy in to the HR compliance program and champion its course through their conduct, communication, and candor. ·
Have an open communication line between employees and supervisors/management where employees are not afraid to report unethical activities for fear of reprisals. ·
Train employees, supervisors, and managers on compliance, company culture, acceptable norms and values, best practices, and ethical behaviours regularly and communicate any changes immediately. ·
Stay updated with the changing laws and regulations that apply to your organization and effect those changes as stipulated by the laws. ·
Embrace technology and invest in HR compliance software. ·
Where in doubt, seek legal counsel.
Staying compliant promotes a safe and secure work environment for all stakeholders involved.
Comments