09. COMPLIANCE AND LEGAL ISSUES IN HR

 

COMPLIANCE AND LEGAL ISSUES IN HR



Source: (CorpStrat: HR | Payroll | Employee Benefits, 2018)


Compliance and legal issues related to HR function are highly critical and important for any organization. They set the foundation for a respectful, fair working environment and legal protection of employees (Lesiuk, 2020). The employment laws and compliances controls the fair hiring and firing process, workplace safety of the employees, obtaining fair benefits and compensation as well as definitely would protect the employees against harassment and discrimination in the workplace (Lesiuk, 2020). Furthermore, employee related laws and compliances would provide necessary guidance in case of a complaint or workplace conflict too (Lesiuk, 2020).


HR compliance normally refers to the organizations’ adherence to the country’s laws, regulations, and best practices governing human resources (Advanced, n.d.). It also would ensure that HR policies, procedures, and actions in the organization would strictly align with legal requirements and the industry standards. This would mitigate any legal concerns and avoiding penalties, lawsuits, and promoting a culture of fairness, respect, and productivity within the organization (Advanced, n.d.).

Additionally, the compliance and legal aspects of HR would include staying informed about any changes to laws and regulations both locally and globally, that could be affecting the employees and the organization. Organizations could stay updated on the laws by properly maintaining accurate records, implementing policies and procedures, and managing potential risks (The Legal Aspects of HR: Compliance and Risk Management, n.d.). More importantly, HR professionals should be thoroughly updated on these issues.

Moreover, potential compliance risks include violations of employment practices, wages or working hour violations, security and Discrimination or harassment (Advanced, n.d.). HR department of the organization should ensure the strict adherence to these wage and hour regulations, confirming that the organization absolutely complies with the minimum wage laws, overtime regulations, and accurately categorizing employees as either exempt or nonexempt from certain relevant situations. Failure to do so could potentially lead the organization to severe legal conflicts and associated costs (Runtime, 2023).

Why is HR compliance important?

  • Avoiding fines and legal problems – Your organization can be subject to an external audit at any given moment. The goal of an external compliance audit is to review how your organization adheres to regulatory guidelines during an audit. Compliance with different laws and regulations that apply to your business helps you avoid legal trouble and save your business money.
  • Maintaining company reputation – Cases of non-compliance are often discussed in the media, such as misclassification of employees or the lack of workplace safety, which can damage your reputation as an employer, and as a company. That further impacts your hiring, retention efforts, and consumer trust.
  • Building a great workplace – HR compliance is key to building a workplace where your employees feel safe and can see you as a dependable employer.

CONCLUSION


HR compliance and relevant legal aspects are extremely critical aspects of HR function of any organization that ensures a fair, respectful, and legally protected work environment for both employees and the organization. HR professionals must therefore stay informed about any changes to laws and regulations, while maintaining accurate records, implementing policies and procedures, and most importantly managing risk to protect their organizations and foster a culture of fairness and respect (The Legal Aspects of HR: Compliance and Risk Management, n.d.).


List of References

Advanced. (n.d.). HR Compliance: The complete guide. [online] Available at: https://www.oneadvanced.com/news-and-opinion/hr-compliance-the-complete-guide/.

CorpStrat: HR | Payroll | Employee Benefits. (2018). HR Compliance Laws and HR Best Practices News March 2018. [online] Available at: https://www.corpstrat.com/blog/stay-prepared-and-compliant/  [Accessed 12 Apr. 2024].

‌Lesiuk, T. (2020). Legal Issues Affecting HR Managers (Know Your HR Law) - Factorial. [online] Factorial Blog. Available at: https://factorialhr.com/blog/legal-issues-hr-law/.

The Legal Aspects of HR: Compliance and Risk Management. (n.d.). Available at: https://www.linkedin.com/pulse/legal-aspects-hr-compliance-risk-management-rimal-nasit.

Runtime, O. (2023). HR Compliance & Legal Issues. [online] Jaro Education. Available at: https://www.jaroeducation.com/blog/hr-compliance-legal-issues/  [Accessed 12 Apr. 2024].‌

Comments

  1. HR16 April 2024 at 03:03

    HR manegement analysis good.

    ReplyDelete
  2. Wasantha Bandara Blogger16 April 2024 at 03:04

    Good content well organized to give maximum understanding to the reader keep it up

    ReplyDelete
  3. Sudara Liyanaarachchi16 April 2024 at 03:42

    Compliance in HR is extremely critical as it is mandatory to adhere within federal/local laws and regulations. As well as to ensure the employee rights are protected and helping to ensure a safe, ethical work environment. Content is vast and well documented. Could bring more advantage to breakdown the main components to point form. Overall a great blog with a lot of information

    ReplyDelete
  4. Sakvithi Senadeera16 April 2024 at 03:43

    Compliance and legal issues in HR are critical for ensuring adherence to employment laws and regulations. By staying updated on legislation, implementing policies, and conducting thorough training, organizations mitigate risks of lawsuits and penalties while fostering a fair and respectful workplace, safeguarding both employees and the company's reputation.





    ReplyDelete
  5. Rusky Ahamed16 April 2024 at 06:07

    HR professionals must be proactive in these areas to effectively manage compliance and legal risks, thereby contributing to the overall health and success of the organization.

    ReplyDelete
  6. Vishaka16 April 2024 at 07:26

    By creating a safe work environment, employee retention, improve efficiency, increase productivity, reduce conflicts are the permanent benefits for an organization. Also, the members who go home after finishing the service have to do a lot of work in the house as well. It is essential to ensure their safety in the work environment in order for them to maintain a balanced life. A successful topic.

    ReplyDelete

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