What is the advantage of having a labour audit?
The labor audit reviews and audits all documents, contracts, policies, manuals, payments, social security payments and benefits paid to employees in the last five (5) years. This procedure analyses the company's labour, social security and occupational health and safety issues in order to indicate (a) hidden labor liabilities; (b) corrective measures for these liabilities to be eliminated from the audit; (c) alternatives for addressing the existing hidden liabilities, if possible; (d) changes in contracts, policies, review of safety reports, union framework, etc. All with the objective, after the audit, of minimising existing labour risks.
In the firm's experience, after going through this process and applying the suggested measures, the company has minimal exposure to labour claims. Our clients have had the result of reducing the number of labour claims and, instead of convictions, dismissals or settlements for insignificant amounts just to not let the process go ahead.