Whenever we hear the term "HR AUDIT", many questions strikes in our mind like what is HR Audit?,what are the standards of
HR Audit in Nepal?,how is HR Audit conducted?, who can conduct Hr Audit?
The article answers such questions related to HR Audit.
Labor Act 2075, section 56 defines some standards that must be followed by institutions while conducting HR audit.
Objectives of HR Audit
HR Audit is basically conducted to flourish the industrious relationship, increase overall productivity and efficiency.
The objectives of HR audit are:
- To follow the Acts, rules and regulations mentioned in the law
- To reduce the grievances of the labor
- To overload of supervisory and regulatory roles of the government.
- To make the institutions responsible and accountable for its own labor issues
Important Considerations for HR Audit
Before conducting HR Audit it’s important to know about Labor Act and other related acts.
Some of the acts that must be considered is as follows:
- Labor Act 2074 and 2075
- Social Security Act 2074 and 2075
- Bonus Act 2049 and 2050
- Rules and regulations made by the company for its operations
- Other related provisions affecting the labor issues.
Who can conduct an HR Audit
Not everyone can conduct an HR Audit. There are few of the criteria’s:
- Anyone in the currently working in the managerial position in the institution
- Institution can also use other institution or individual to conduct HR audit.
In such case an institution consider the following criteria:
- In Case of individual
i) Must be an Nepali Citizen
ii) Must have completed bachelors
iii) Must have at least 2 years’ experience working in the managerial position in any Institution.
2. In Case of Institution
i) Must be registered according to the law
ii) The objective or scope of the institution must have an interest in HR related issues.
iii) If the institution assigns any individual for the task. The above mentioned criteria must be followed.
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