As any HR manager knows, conducting an HR audit of your company’s policies and procedures can be a daunting, but necessary task. Critically evaluating those policies and procedures is essential to ensuring they are effective and compliant with state and federal requirements. Additionally, it’s important to continually ensure that they are compliant with the rules and regulations as they change.

The task of establishing your human resources policies is not a ‘one-and-done’ process and waiting until an issue arises can have costly consequences. Setting up functional and effective HR processes can be time consuming, but will only help you in the long run. Let NAE’s expert team of HR professionals and legal counsel help your human resource department get ahead of your human resource management challenges, and set HR policies that support your business goals and objectives. We’ll help you determine best practices for your HR practices and create a regular HR audit cadence to ensure that you’re policies are always in compliance.

How Can NAE’s HR Experts Help You?

Allow NAE’s legal and HR professionals to assist your HR department to conduct an internal audit and human resource audit. We can assist your company identify gaps in current processes and manage potential liabilities by recommending improvements.

Whether you are looking for a comprehensive compliance audit or a review of personnel files or I-9 records, NAE can help assist your organization with the HR audit process and tasks required such as:

  • Drafting accurate and compelling job descriptions that help you find top talent
  • Review employee handbooks that promote understanding of policies and safety in your work environment
  • Review employee benefit packages to help promote employee satisfaction
  • Outline performance management review processes and run performance evaluations that encourage growth and employee retention
  • Ensuring HR compliance with employment laws for risk mitigation
  • Make adjustments to current company policies to rectify liability or compliance issues

Not Sure if You Need Assistance with Your HR Audit?

Take Our HR Audit Self Assessment to Find Out.

Contact NAE for Your Personalized HR Audit

The time and cost of an HR audit will depend on the scope of the review but will always be less than the time and cost of defending the company in court. Contact NAE at 888.398.8092 or info@nevadaemployers.org to discuss your needs with a member of our team of HR and legal professionals.

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Frequently Asked Questions

HR Audit FAQs

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Can Small Businesses Benefit from HR Audits?

A small business may need the HR audit more than larger companies.  While most large businesses have audit procedures set up and designated employees to handle the work, a small business tends to put compliance on the back burner. Owner/operators in particular don’t always have time to ensure they are compliant with every applicable laws. An HR audit is an efficient way to ensure that everything is done properly.

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How Can NAE Assist in Enhancing HR Audit Processes?

NAE can assist with the HR Audit in several ways.  We have a myriad of checklists and forms to help our members conduct their own audits.  If time doesn’t allow for a self-audit, we can conduct the audit under our HR Assist program, thereby ensuring that everything is in compliance.

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How Often Should HR Audits Be Conducted?

HR Audits should be conducted at least once per year; more often if the company is undergoing frequent changes. Companies that require extra compliance may need to conduct audits more frequently to ensure that all policies, procedures, and documents are up to date. Some companies make an annual HR Audit part of their Year End process, while others may plan to conduct audits during their slower times.

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What Are the First Steps in Starting an HR Audit?

The best place to start an HR audit is by examining the personnel files. Looking at the documents that are in the files (and noticing what is missing) gives a good idea of the level of compliance, as well a glimpse into the culture of the organization.  Creating a checklist (or utilizing one from NAE) that includes required documents as well as a list of recommended and company specific documents is a great tool to ensure that everything is in place. Once there is a handle on the files, we can move on to procedures and software.

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Who Should Be Involved in the HR Audit Process?

In larger companies, the HR audit process should include other departments and managers where applicable. For example, a company that has a warehouse with chemicals and machines may have additional safety procedures to review, such as SDS binders and other OSHA requirements. It is helpful to include these employees in conversations about ensuring the compliance in their respective areas.

In larger companies, HR may be the center of the audit process to ensure companywide compliance. Having other departments involved in the audit process also creates checks and balances, which is a great way to ensure that nothing is missed.

In smaller companies, the person in charge of administration and/or HR should conduct the audit with the cooperation and oversight of the owner, ensuring that everyone knows the status of compliance within the company.