Dear Seniors!! Please help me with the definition of legal audit in manufacturing setup with regards to HR or IR. I am unable to define it in interviews and vivas. Please help! Warm Regards!
From India, Vadodara
From India, Vadodara
Dear Friend,
Legal audit is not complex; it's just about the Laws and Acts that you come across almost daily. All Acts and Laws have provision which need to abide strictly. Hence the returns, challans, forms etc of respective acts are part of audit. The laws could be Employees' Provident Fund & MP Act, ESIC Act, Indian Factories Act 1948, Equal Remunerations Act, Payment of Wages Act, Payment of Gratuity Act, Payment of Bonus Act, Minimum Wages Act, Industrial Disputes Act, Prohibition of Children Act, Contract Labour (Abolition and Regulation) Act and laws of appointment and termination as per company's policy or standing order.
I take an example referring to Payment of Bonus Act; you need to have the registers in form A, B, C and D. Also, you need to pay bonus in accordance with the bonus act within a stipulated time frame as mentioned in the Act.
Referring to general laws in your Organisation it could be related to employees' muster roll, leave register, appointment letter being issue to employees or not, salary slips being issue to employees or not. Or if an employee is terminated whether proper action being taken or not like giving warnings, preparing charge-sheet, domestic inquiry, show-cause notice and then termination..whether the process being followed or not.
All these form an HR or IR audit alias legal audit.
Warm regards,
Umesh Chaudhary
(welcomeumesh@yahoo.com)
From India, Delhi
141Legal audit is not complex; it's just about the Laws and Acts that you come across almost daily. All Acts and Laws have provision which need to abide strictly. Hence the returns, challans, forms etc of respective acts are part of audit. The laws could be Employees' Provident Fund & MP Act, ESIC Act, Indian Factories Act 1948, Equal Remunerations Act, Payment of Wages Act, Payment of Gratuity Act, Payment of Bonus Act, Minimum Wages Act, Industrial Disputes Act, Prohibition of Children Act, Contract Labour (Abolition and Regulation) Act and laws of appointment and termination as per company's policy or standing order.
I take an example referring to Payment of Bonus Act; you need to have the registers in form A, B, C and D. Also, you need to pay bonus in accordance with the bonus act within a stipulated time frame as mentioned in the Act.
Referring to general laws in your Organisation it could be related to employees' muster roll, leave register, appointment letter being issue to employees or not, salary slips being issue to employees or not. Or if an employee is terminated whether proper action being taken or not like giving warnings, preparing charge-sheet, domestic inquiry, show-cause notice and then termination..whether the process being followed or not.
All these form an HR or IR audit alias legal audit.
Warm regards,
Umesh Chaudhary
(welcomeumesh@yahoo.com)
From India, Delhi
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