HRMS has been playing a major role in business transformation. It helps the managers to take strategic decisions. Organizations have legal obligations which they must fulfill to keep their business running and avoiding penalties. The obligations can be related to pursuing fair trade practices, maintaining conducive working environment for its employees, and obtaining necessary certifications from government agencies.
Non compliance with government regulations puts the business at risk. The company should be in compliance with government agencies and fulfill all reporting requirements. You must integrate compliance and workforce analytics to make better decisions. To streamline all your compliance related needs, you need HRMS. Among all its modules, there is one called legal and compliance management module, which is specifically designed to meet your compliance needs.
This is how it can help you:
- Policy development
As the organization grows big in size, a number of policies come into picture. Managing your policies can become increasingly difficult without a support system. HRMS has an easy-to-use interface where you can list key policy words and phrases. Creating a new policy becomes easier. Addition, deletion and amending existing policy is made fairly simple when you have a comprehensive view of the entire policy. It lets you make comparison with other similar policies.
- HR education and training
HR personnel should be fully aware of the employment laws to bring innovation in the existing system. Compliance management module displays and stores the information in such a manner that it is easier to refer to company-specific rules updated in the system. It can be used to educate and train new HR personnel. Mandatory HR trainings can also be easily provided with the system. Thus, it helps HR personnel to stay up-to-date about employment laws, reporting rules, obligations and compliance regulations.
- HR audits
Scheduling HR compliance audits was never so easy and it has to be a part of organizational growth strategy. HRMS automates compliance audit scheduling process and safeguards your company against unexpected government audits, and employment lawsuits.
- Managing business complexities
When you have business spread across multiple states and countries, the laws of the land may significantly vary. Dealing with complex global HR regulations is possible only if you deploy HRMS in the company. Different locations may have different regulations for minimum number of working hours, flexible working hours, remote working and work-from-home compliances. The taxation and government regulations also vary a lot. HR compliance is a time consuming task without HRMS solution. You need to deploy more manpower to keep a track of everything which escalates your cost. Thus, to keep a check on cost and time, you must have HRMS in place.
- Protection of employee rights
It is extremely difficult for HR managers to manage all compliance related matters manually. HRMS facilitates automatic report generation. It accommodates restrictions on working age, minimum wages requirement for all business units. The employees who have resigned or whose position has been terminated have to be dealt with in a particular manner and their compensation has to be framed accordingly. There are health regulations too which vary from country to country.
Keeping a track of all compliance, regulations and labor rules with HRMS
Thus, compliance management may look like a daunting task with growing legal complications surrounding the industry. Implementing an HRMS solution with the required compliance management module takes care of all your regulatory compliances increasing the productivity of your HR department.