Legal Penalties: Violations can lead to significant fines from agencies like the Department of Labor (DOL), Equal Employment Opportunity Commission (EEOC), and Occupational Safety and Health Administration (OSHA).
Lawsuits & Employee Claims: Failure to comply with wage laws, wrongful termination protections, or anti-discrimination regulations can result in costly employee lawsuits.
Operational Disruptions: Audits, investigations, and legal disputes can take time and resources away from business operations, affecting productivity and profitability.
Reputation Damage: Non-compliance can lead to negative publicity, loss of trust from employees and customers, and difficulty attracting top talent.
Wage & Hour Compliance – Adhering to the Fair Labor Standards Act (FLSA) and state-specific wage laws.
Employment Classification – Ensuring proper classification of employees vs. independent contractors.
Family & Medical Leave Act (FMLA) & Paid Leave Laws – Managing leave policies and programs in compliance with federal and state laws.
Workplace Safety (OSHA Compliance) – Implementing safety standards to prevent workplace violations.
Legally Compliant: Reflecting the latest labor laws and regulatory updates.
Industry-Specific: Tailored to the organization’s sector and employee needs.
Regularly Updated: Adapted as employment laws change over time.
Payroll & Benefits Compliance Reviews – Ensuring accurate wage calculations, tax withholdings, and benefits administration.
EEO & Anti-Discrimination Audits – Reviewing hiring practices, pay equity, and workplace policies to prevent bias.
HR Documentation Checks – Assessing personnel files, I-9s, and other records for legal accuracy.
Common HR outsourcing models include:
Co-Sourced HR Support: Your internal HR team works alongside external specialists.
Fully Outsourced HR: The provider manages all HR functions independently.
Project-Based Support: The provider assists with specific HR initiatives (e.g., compensation benchmarking, pay equity analysis, HR compliance audits, implementing HR technology solutions, training and development initiatives, etc.).
Automated Recordkeeping & Employee File Management – Digitally storing and tracking compliance documents.
Time & Attendance Tracking – Ensuring accurate payroll processing and overtime management.
HRIS (Human Resource Information Systems) – Ensuring self-service compliance tools for employees and HR teams.
Payroll & Tax Compliance: Ensuring proper wage calculations, tax withholdings, and compliance with IRS regulations.
Employment Eligibility Verification (I-9 & E-Verify): Managing required forms to verify work authorization.
Wage & Hour Laws (FLSA): Adhering to federal, state and local overtime and minimum wage laws.
EEO & Anti-Discrimination: Preventing workplace bias and ensuring fair hiring and promotion practices.
Workplace Safety (OSHA): Implementing policies to meet health and safety standards.
Leave & Benefits Compliance: Managing FMLA, paid sick leave, and other benefits-related requirements.