How HRMS Can Help You Comply with HR Regulations

Compliance and HR regulations can be a complex subject with high stakes. One mistake and the penalties can be high. While there are many challenges to keeping this area running smoothly, your HRMS holds the keys to success. Read on to explore some compliance challenges and how your HRMS can help you to mitigate the risks involved.

HR Compliance Can Be Time-Consuming and Costly

There are many regulations that fall under the umbrella of ‘HR compliance’ from general ones such as minimum wage or working age restrictions to industry or task specific HR laws. There are a variety of HR regulations, from making sure that terminated employees in certain states receive final wages by a certain number of hours after resignation to manufacturing codes of practice that dictate a specific number of health and safety training hours repeated annually.

Trying to keep up with all of these requirements can be a nightmare without an HRMS. Most HRMS allow for reporting or workflow within a termination so that an administrator can be notified automatically when an employee in those time-sensitive states is leaving and requires an off-cycle check, rather than depending on an email chain to get the check process started.

An HRMS Is a Reputable Data Source in the Event of an Audit

In our health and safety example, would you rather that an HR professional maintain an Excel spreadsheet that needs to get updated after each training session and could potentially get lost or an HRMS which tracks this data for you and automatically alerts managers when compliance is at risk?

An HRMS makes quick work of producing a report of employees who attended training, and further, you can proactively report on employees who have missed a training opportunity, rather than getting caught in a compliance failure after the fact.

HRMS Can Deal With Complex, Global HR Regulations

In a global HR environment, working hours may be limited in certain countries or there may be other time restrictions such as how many breaks are required by younger staff or overall working hours per day. While the HR department can proactively monitor time schedules and search for offending behavior, it is better when you can build HR regulations into your HRMS and then generate an email or exception report automatically. While compliance and labor relations requirements vary around the world, your HRMS never forgets the rules.

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Heather Batyski

About the author…

Heather is an experienced HRMS analyst, consultant and manager. Having worked for companies such as Deloitte, Franklin Templeton and Oracle, Heather has first-hand experience of many HRMS solutions including Peoplesoft and Workday.

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Heather Batyski