Five reasons to conduct an external audit of HR documentation:
  • 1
    You would like to be ready for and undergo quickly without consequences a forthcoming inspection from the State Labor Inspectorate.
  • 2
    The employee in charge of HR management has been replaced, and you would like to check that he/she left nothing behind that could damage your relationship with employees and the State Labor Inspectorate.
  • 3
    Your company’s management has changed, and it is necessary to verify that the policy put in place by the previous management was not contrary to labor law. Such verification is necessary to avoid any claims from employees (complaints to the public prosecution office and State Labor Inspectorate) and upon audits of HR department.
  • 4
    You would like to protect your company from any risks related to challenging dismissals.
  • 5
    You would like to bring HR documentation in line with applicable law because you suppose that your own HR department is not completing this task properly and completely.

We are pleased to offer our audits of HR documentation and consulting on HR recordkeeping.

We conduct the following HR audits:
Full audit

The HR documentation for the entire company staff is verified. This audit gives a clear picture of all violations and is suitable for companies with a small number of employees. It is also appropriate if HR documentation restoring is planned on the basis of audit results.

Spot-check audit

The HR documentation for 10-30% of company staff is verified. The HR documentation for employees with different types of employment contracts and work schedules are spot-checked. This audit gives a clear picture of all typical violations and is suitable for medium to large companies, but would not be appropriate for companies with a small number of employees.

Field audit

This audit of original HR documents is conducted onsite, at the client’s office. For confidentiality purposes, our auditors will need a separate room to conduct such audit. When field audits are conducted in the regions of Russia, business trip expenses are invoiced in addition to our audit fee.

Desk audit

This audit is conducted in our office by reviewing the scanned HR documents provided by clients or original HR documents submitted by clients together with a checklist.

We recommend reviewing the HR documentation drawn up over a period of 3 years prior to any audit as this 3-year period is usually favored by the State Labor Inspectorate.

We conduct HR audits as follows:
1. We identify HR recordkeeping inconsistencies with applicable law

Example:

An employee was not notified of vacation start with acknowledgement of receipt or was notified less than two weeks prior to vacation start. This is a violation of Article 123 of the Russian Labor Code so there is a risk of imposition of penalties under Article 5.27 of the Russian Code of Administrative Offenses.

2. We check whether all necessary HR documents are available, identify and assess the risks of imposition of penalties and give recommendations on how to rectify any irregularities found

Example:

  • Employment contracts do not include all the mandatory terms and conditions provided by Article 57 of the Russian Labor Code.
  • Civil law contracts regulate relationships which are de facto employment relations. This would be a violation of Article 15 of the Russian Labor Code.
  • Different salaries for the same job are specified in the staffing table. This would be a violation of Article 22 of the Russian Labor Code.
  • No vacation schedule is drawn up. Employees are not notified of vacation start, and vacation days are paid later than 3 days prior to its start. These would be violations of Articles 122, 123, 136 of the Russian Labor Code.
  • All these violations will be subject to penalties as provided by Article 5.27 of the Russian Code of Administrative Offenses

3. We give recommendations for improvement of HR recordkeeping, document storage and archiving

Different salaries for the same job.

What can be done?
Providing for the same salaries for the same job and at the same time implementing an incentive and allowance system.
Change the job title while keeping the same salary
  • We compile all identified inconsistencies for each employee in a single Excel file
  • We draft a detailed report on the irregularities found. This report also provides recommendations to rectify these irregularities and outlines the risks arising from labor law violations and their related penalties.