New to HR Audits? What Documents and Reports Should I Prepare for January?

Hi all,

I would like to request advice on the HR audit process as I am new to this procedure and have never been part of it in my career so far. I need to prepare myself for the HR Audit and request guidance on the necessary documents and reports required on my end as an HR professional before the scheduled day. Kindly assist me as I need to present the same by the 2nd or 3rd week of January 2016. I look forward to your reply.

Thanks,
Shailja

Understanding HR Audits

In simple terms, an audit means inspection, verification, or checking. Any kind of audit should be done against some standard policy or procedures. As HR includes a number of segments like Recruitment & Selection, Training & Development, Payroll, Compliance, and others, let's help you understand the audit of one segment.

Steps to Audit Payroll & Compliance

Let's say the company has asked you to audit the Payroll & Compliance segment. First of all, find out the factors/fields associated with this to execute the audit, such as attendance, overtime, leave, salary structure, arrears, ESI, PF, etc. Then, collect the policies laid down by the company as well as the policies of central and state government acts related to these, whichever is applicable. After that, you need to verify if the payroll processing and compliance are being fulfilled as per policy or not. You need to prepare a report of the feedback in an Excel sheet for the same.

The main intention of the audit is to check if everything is going well or if some mistakes or biases are being made.

Regards