HR Compliance

The Ultimate Guide To HR Compliance

Published on 12 Jul 2022

Ensuring Regulatory Compliance In Your Business Is Key To Success

In today's globalised economy, companies are increasingly facing compliance risks when operating in multiple jurisdictions. Corporations that have to adhere to global HR compliance are especially susceptible to this as each country has its own set of labour and employment laws. Hence, managing your distributed team while staying legal can be difficult. However, whether you're a global corporation or a local startup, HR compliance is critical to protect your people and your business.

What is HR Compliance?

HR compliance refers to the set of laws and regulations that employers must follow to ensure a safe and fair workplace. The rules that apply to a company's operations are different in each country. As a result, businesses must be familiar with all applicable laws and stay on top of the ever-changing regulatory mandate to avoid potential liability for non-compliance problems.


While the statutory compliance requirements for HR differ from country to country, the vast majority cover topics such as minimum working age, minimum wages, total working hours, and termination procedure. Employers must also have policies and procedures in place to prevent discrimination and harassment in the workplace.

Common Challenges Faced in Compliance Management

And as anticipated, this daunting task comes with a handful of challenges. Keeping up with the ever-changing compliance landscape is easily one of the more challenging tasks when trying to be compliant. HR executives must have a high level of compliance knowledge, including all the statutory requirements that apply to their organisation. Organisations with a global footprint must also cover multi-country HR, tax and other affiliated regulatory updates.

Another challenge is managing employee data. Employers must have mechanisms in place to keep track of employee data, hours worked, and leave taken. All data collected must also be accurate, up-to-date, and kept confidential. This is a highly time-consuming task as there can be much data to handle.

Last but not least, compliance with payroll taxes. Payroll taxes can be complicated, and ensuring that all taxes are paid on time is crucial. Companies must also ensure that their payroll taxes are up to date and that their employees are paid the correct amount. The task gets even trickier if you're a global corporation. And to make things even harder, regulators and employees expect you to comply with new legislation immediately, and if found non-compliant, your company may be subject to litigation.

Ways To Be Compliant With Both Local & Global HR Laws

There are several tools and software that can help employers to be compliant. Utilising tools such as an HR compliance checklist or software can help employers stay updated on all applicable compliance requirements and automate many compliance tasks that employers must carry out, such as tracking employee hours and managing payroll taxes.

Another effective way to manage HR compliance is outsourcing compliance functions to HR compliance professionals. This frees up an abundance of time and resources so that HR can focus on other strategic tasks.

Dedicated In-house Global Compliance Experts | OS HRS

At OS HRS, we have an in-house statutory compliance unit which tracks global HR regulatory updates for our clients. This includes keeping up to date with the latest compliance developments, ensuring that our clients' payroll taxes are compliant, and providing advice on compliance-related issues. Our team of experts can assist in navigating the complexities of multi-country HR compliance and ensure that your business is in accordance with all relevant laws and regulations.

Global HR compliance is complex and challenging, but it must be done. The risks of non-compliance are simply too great. By utilising the right tools and expert help, you can ensure that your organisation is compliant and protect your people and your business. Contact us today if you would like to learn more about complying with global HR standards.


Similar articles

Tackling Common HR Issues With Global HR Compliance

August 2nd, 2022