Statutory & Compliance
Statutory compliance, in HR, refers to the legal framework within which organizations must operate, in the treatment of their employees. Every country has several hundreds of federal and state labour laws that companies need to align with. This list is forever being added to.
What is the Need for Statutory Compliance?
Adhering to statutory compliances is necessary for all big and small companies in the world to keep their businesses safe from the legal trouble. A deep knowledge of statutory compliances is required to minimize the risk associated with the noncompliance of statutory requirements. The final goal of labour laws is to reduce the differences between the Employer and Employee which leads in industrial Growth and Growth of a nation.
What happens in the event of Non – Compliance
> Penalties
> Lawsuit
> Loss of Credibility
> Show Cause Notice to Directors
> Closure of Business