The Importance of Auditing

A Department of Labor (DOL), Department of Justice/Immigration and Naturalization Service (INS), Equal Employment Opportunity Commission (EEOC) AUDIT?

Sandra Hoyle-Smith, SPHR

Sandra Hoyle-Smith, SPHR

It’ll never happen to me... That’s what most employers think, which is a big mistake! Many employers now find themselves paying legal fees in addition to large fines. Just look on the home page of the EEOC website and you’ll see their Newsroom where they list just a few of their recent successes and the amounts the businesses are required to pay. And, this is just one government agency.
Don’t be a headline in an online government newsroom. Start today by being proactive. Below is just a short list of things you can do to ensure that you are in compliance with some of the federal regulation “hotspots”.

  • Audit your I-9 forms. Ensure you have a I-9 form for each current employee and that it is completed correctly and in its entirety, including dates and signatures. Be sure the I-9 forms are filed separately and not in the employee’s personnel file. The INS can fine employers anywhere from $110 to $1,100 for each form that is not completed correctly.
  • Review your printed materials, i.e., employment application, policies or Employee Handbook to ensure they comply with the dizzying array of employment regulations and laws. Do you have any unwritten policies or practices that you need to review or document as well?
  • Review your practices and procedures for hiring, firing, raises, promotions, employee complaints, etc. Are you following your written policies and conducting an investigation when you have an employee complaint? Are you documenting it correctly? Are you being consistent and nondiscriminatory?
  • Wage and hour issues are in the headlines right now with the changes to the Fair Labor Standards Act. Now is the time to review all your employees to ensure they are classified as exempt or nonexempt correctly and that you are paying overtime according to the regulations.

The above list is just the start of auditing your Human Resources practices and policies. Contact us if you have questions or need help in the auditing process. Through the month of June 2016, we are offering a 10-point HR compliance audit at the discounted rate of $1,000.

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