HR Audit Checklist

The Hiring Process
– Accurate job description developed for all positions
– Job application submitted with required forms (background check, reference check, credit check release)
– Is your job application compliant with the law?
– Completed reference checks
– I-9 forms completed with proper identification
– Important medical information and emergency contacts gathered and filed
– Proper identification of independent contractors
– W-4 forms completed and submitted to the IRS
– Personnel files kept (and kept current)
New Employees
– Employee Manual – specific to your workplace
– Workplace policies (enforceable) Workplace culture
– Employee orientation
– Employee training
Wages & Hours
– Employees correctly categorizes as exempt or nonexempt (FLSA – Fair Labor Standards Act)
– Pay structure outlined & compensation plan communicated
– Overtime pay for non-exempt employees (1.5 x hourly wage)
– Method of recording time
– Paid time off (vacations and holidays) structure
– Payroll withholding performed accurately
Benefits
– Benefits administrator
– Summary plan descriptions provided to plan participants
– Health care plan information kept private and secure
– COBRA (Consolidated Omnibus Budget Reconciliation Act) notices provided
– FMLA (Family & Medical leave Act) – up to 12 weeks leave
– ERISA (Employee Retirement Income Security Act) compliance
– Supervisors and managers trained to report more than three days absence to HR for FMLA purposes
– Form 5500s completed and reported
Employee Relations
– Performance evaluation structure and schedule
– Quality and quantity of work evaluated
– Is performance related to compensation?
– Flexible workplace policies?
– Disciplinary action for violating policies and procedures
– Process for employee complaints
– Whistleblower policy in effect?
Safety & Security
– Procedure for reporting safety hazards Prompt reporting
– Employee suggestions to reduce/ eliminate risk
– Measures to keep unauthorized people from entering a specified area
– Appropriate lighting indoors and outdoors
– Measures to prevent intruders from entering
– OSHA compliance
Employee Separation
– Exit interview process
– Separation and COBRA notices provided on time
Final paychecks provided on time