Though the Companies Act 2013 is not known to prescribe labour law compliance and audit, there are specific section provisions that indirectly clarify the need for labour law compliance and audit. An experienced Labour Law consultant in Delhi can help explain this better to you. visit: https://ezhrconsultants990456812.wordpress.com/2023/01/27/what-is-labour-audit-and-who-conducts-labour-audit-for-businesses-in-india/
2. Labourers are important for the growth of the Indian economy, and as a result, the Indian government
has made various laws to protect their interests. Their interests are safeguarded via provisions in
multiple labour legislation and by mandating compliance with the laws by potential employers.
Before you know about the Labour Law audit, you must know that employers must undergo the
Labour Audit to ensure that they fulfil the compliance requirements and avoid penalties. In this
article, you will learn about Labour audits and who conducts the audits for Indian businesses.
What is a Labour Audit?
A Labour audit is known as the evaluation of the employer’s labour compliance and checking
whether the employer is following the same.
How to Decide the Labour Audit Applicability for a Business?
The applicability of the Labour Law audit usually depends on the following parameters:
• The nature of the business
• The number of employees in the business
• The nature of employment of the employees: contractual or permanent
• The status of registration.
Who is Responsible for Conducting Labour Audits for Businesses in India?
The labour audit is usually conducted by an independent labour auditor, a practising company
secretary. The auditor is known to define the scope of the labour audit, and the individual also has to
identify multiple central and state legislations along with the other rules that are applicable to the
potential employer.
3. What Are the Legal Provisions for Labour Audits?
Though the Companies Act 2013 is not known to prescribe labour law compliance and audit, there are
specific section provisions that indirectly clarify the need for labour law compliance and audit. An
experienced Labour Law consultant in Delhi can help explain this better to you. Some of the
provisions are as follows:
Section 134(5)(f) –Director Responsibility Statement
Directors came up with good systems to ensure compliance with the specific law’s provisions. Such
systems were also perfect and were operating most effectively.
Section 204(1) Secretarial Audit and Rule 9 of the Companies (Appointment and Remuneration
Personnel) Rules, 2014
This specific section provides that inter-alia, secretarial includes reporting compliance with all
applicable laws to companies.
Section 205(1) Duties of Company Secretary
Under this, the company secretary has to report to the Board about following the provisions of this act.
They also must follow the rules that are made there and other specific laws that are applicable to the
company, audits and labour law compliance. Keep this in mind before you opt for liasoning services in
your area.
Bottom Line
You can read the article above to learn more about Labor Law audits. You can associate with a reputed
consulting firm that offers labour law and corporate law services that include labour law audit and
labour laws compliance.
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who-conducts-labour-audit-for-businesses-in-india/
4. For More Details Contact Us :
Name: EZ HR Consultants
Address: A-74, 2nd Floor Sector-2, Noida,
Uttar Pradesh, 201301 India
Telephone: +91 9810572967
E-mail: info@ezhrconsultants.com
Website: https://www.ezhrconsultants.com/