Blunting the Two-Edged Sword of Self-Audits

There are steps you can take to protect the self-critical analysis and attorney-client privileges discussed in yesterday’s Advisor. Here’s what we recommend:

• Use outside counsel, if at all possible, to direct and control the auditing process. (It is not enough that your attorneys review a finished product; involve them early on. Discuss with them how to work to maintain the privileges.)


• Mark all documents confidential and privileged.


• Instruct all involved employees that the audit or survey and associated materials are strictly confidential.


• Restrict access to documents. (If you don’t maintain control and the documents are distributed widely without restriction, you will likely lose the privilege.)


• Make sure management is committed to fixing problems if they are found, and thoroughly document your corrective action. (If management isn’t likely to correct problems, you may want to consider not doing the audit. You and your management do not want to be in the position of being “on notice” of violations or discrimination and having taken no action.)

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Using the “hope” system? (We “hope” we’re doing it right.) Check out every facet of your HR program with HR Audit Checklists. Try it for 30 days—on us!

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Recommended Self-Audit Inquiries

Here are some areas that you might want to consider for your audit:

• Review Affirmative Action Plan data.


• Review application forms to be sure they don’t include prohibited questions (an applicant’s race, color, religion, marital status, age, etc.). The questions on the application form should also be checked for job relatedness. The application should also include an equal employment opportunity statement, a release for information from certain third parties, a release for all required medical exams and drug and alcohol testing, and an employment at-will statement.


• Ensure that all references have been contacted.


• Review exempt and nonexempt categories, equal pay issues, overtime issues, and timekeeping systems.


• Review the hiring interview structure to ensure that it is standard from candidate to candidate, and that no illegal, offensive, improperly intrusive, or sexually suggestive questions are being asked or statements made.


• Review employment posters to make sure that they are current and appropriately posted.


• Check that supervisor and manager training is presented for sexual harassment and discrimination issues.


• Check the employee handbook to see that it includes all employment rules, regulations, and procedures—and check to see that these strictures are followed by supervisors and managers.

The bottom line is that whatever the drawbacks, if you are like most employers, you need to audit simply because you need to find problems before “they” do—”they” being the feds, state regulators, bankers, and your employees’ lawyers.

Fortunately, there’s good news—BLR’s editors have written your audit checklists for you.

Why Checklists?

Why are checklists so great? Because they’re completely impersonal, and they force you to jump through all the necessary hoops, one by one. They also ensure consistency in how operations are conducted. And that’s vital in HR, where it’s all too easy to land in court if you discriminate in how you treat one employee over another.

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Don’t “just do it” … do it right. HR Audit Checklists ensures that you know how. Try the program at no cost or risk.

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The program the editors have created is BLR’s HR Audit Checklists.

Just as an example of how it compels thoroughness, it contains not one, but three checklists relating to recordkeeping and digital information management. One lists 34 types of data, and also covers confidentiality, emergency planning, efficiency, compliance with laws, and safety. You’d likely never think of all those possible trouble areas without a checklist, but with it, just scan down the list and you instantly see where you might get tripped up.

In fact, housed in the HR Audit Checklists binder are dozens of extensive lists organized into reproducible packets for easy distribution to line managers and supervisors. There’s a separate packet for each of the following areas:

–HR Administration (including communications, handbook content, and recordkeeping)
–Health and Safety (including OSHA responsibilities)
–Benefits and Leave (including health cost containment, COBRA, FMLA, workers’ compensation, and several areas of leave)
–Compensation (payroll and the Fair Labor Standards Act)
–Staffing and Training (incorporating Equal Employment Opportunity in recruiting and hiring, including immigration issues)
–Performance and Termination (appraisals, discipline, and termination)

HR Audit Checklists is available for a no-cost, no-risk evaluation in your office for up to 30 days. Let us know, and we’ll be happy to arrange it.