Compliance plays a major role in successful HR practices and ensuring legal compliance is a central responsibility in HR. Corporate compliance protects the business and employees by making sure all legal regulations are followed.
Laws can change, however, and compliance has a lot of moving parts that makes compliance a struggle for some businesses. Many well-intentioned, successful businesses find themselves in the middle of legal compliance issues. HR tech can help prevent these problems and keep organizations on track to 100% compliance, with no concerns.
Some Common HR Compliance Issues
Compliance issues come in many forms, and some are more common than others depending on the business or industry.
Some compliance issue examples include:
- Issues around minimum and which employees have the right to overtime pay
- Hiring issues and avoiding discrimination on the basis of race, gender, age, or any other protected status
- Issues surrounding medical or maternity leave
- The rights of those who are called into active military duty
- Confusion around new tax laws
- Health care and insurance issues
How can HR technology keep you compliant?
Many HR professionals are well versed in what the law has to say about many of these issues, but not all. A lack of knowledge can lead to everything from confused, dissatisfied employees to being responsible for a business violating federal employment law. In order to not face compliance issues, it’s important to know and understand the compliance laws that are relevant to your business and then make sure there are structures and procedures in place to address anything that does come up.
With so much at stake, it’s important that businesses don’t find themselves asking, “Who qualifies for what? What are the rules regarding that?” One solution to prevent HR professionals from winding up here is to use HR technology to assist in your compliance journey.
How HR tech can solve your legal compliance issues
- Better reporting: HR software makes it easier to run reports on compliance issues. It can help you check what category an employee falls under if overtime pay is being calculated and paid out correctly, and allow employers to better track if regulations are generally being followed.
- Automatic updates: Cloud-based programs have a huge advantage over other versions of software in that they can automatically update. When an update is available from a programmer for your phone or mobile device operating system, it will automatically update and allow you to work from the most up to date version. The same is true for HR compliance software; if there are updates regarding certain compliance elements, your business can benefit from automatically being able to apply those.
- Better compliance between federal and state laws: There are compliance laws that affect employees at the federal level and that all businesses are subject to, but there are also laws that only apply to businesses in certain states. The right HR tech solution can help you keep those things straight, which is particularly important if you have employees spread out over the country.
What tools can help you to keep HR compliant?
Here are some of the best tools to help address your legal compliance issues.
- QuickBase: This HR software gives businesses a simple compliance solution with a centralized, auditable database that helps businesses better support regulatory compliance.
- ComplianceHR: This software solution helps businesses address federal and state compliance issues, from minimum wage requirements, overtime, independent contracting, FMLA/leave and more.
HR compliance is serious business – a breach in compliance can lead to lawsuits, fines, and even the loss of a business license. Making sure your business is compliant is one of the best ways to invest in the long-term success and health of your organization.