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Doing an HR audit? Look at these three areas to make sure your HR policies and procedures comply with the new labour laws

by , 10 February 2015
Your HR policies, procedures and practices must comply with labour laws. To make sure they do, you must conduct an HR audit.

If you don't, you're at risk of fines of up to 10% of your turnover and CCMA cases.

Why take this risk when it's so easy to avoid.

Conduct an HR audit and look at these three areas to make sure your HR policies and procedures are in line with the new labour laws.

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Ensure you're in line with employment laws by carrying out regular HR audits

An internal human resource audit allows you to objectively examine all your HR policies, procedures and practices in your company.

Discover how you can conduct your own HR audit by using the HR Audit Electronic Report so you can make sure your procedures and practices are legally compliant!
When doing an HR audit, look at these three areas when it comes to your HR policies and procedures 

Area 1: Recruitment
Here, you must look to see if your company uses the same process for all employees .and ask yourself certain questions.
The HR Audit Electronic Report says you must look at:
  • Job adverts – Do you base them on job profiles and are they free of any unfair discrimination in terms of the Employment Equity Act (EE Act)?
  • Interviews – Do you conduct them fairly for all employees? And do your interviewers have training and understand they mustn't discriminate?
  • Assessments – Do you conduct them in a fair manner?
  • Letters of appointment – Do all your employees have appointment letters that spell out their terms of employment? And did they sign them?
  • Induction – Is your training suitable for all employees and free from unfair discrimination?
Area 2: Job details
The BCEA says you must give your employees a summary of the job you need them to do.
In this area, check that your job profiles include the following:
  • The key competencies;
  • An indication of the function to which the job belongs, such as HR, marketing, finance, etc.
  • Technical competencies like, research, labour law, engineering, finance, marketing, etc.
  • Cross-functional skills. If an employee is in HR, he may need to have certain skills in other functional areas such as in finance, administration, etc.
  • General skills the person needs to do the job such as computer skills, literacy, communication, the ability to write, etc.
  • Behavioural competencies, for example, analytical ability, honesty, reliability, etc.
Area 3: Performance management
Here, you need to assess if your employees understand how their performance contributes to their salary increases. Assess if:
  • Your managers conduct fair performance assessments.
  • Your employees have a chance to disagree with performance ratings and have a review of their performance assessments?
  • You link performance ratings to salary increases at all levels of your business.
These are just some of the areas you need to look at when it comes to your policies and procedures. To discover six other areas and a step-by-step action plan for conducting an HR audit, check out the HR Audit Electronic Report.

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