This document discusses the importance of conducting a human resources compliance audit. It begins by presenting frightening statistics on the increasing number of employment-related complaints and monetary awards. Common reasons for violations like making rash employment decisions are then discussed. The benefits of a compliance audit in avoiding costly legal issues and ensuring the company's policies follow employment laws are described. Key areas a compliance audit should examine are payroll, documentation, handbooks, policies and procedures. The document concludes with recommendations for next steps after an audit is completed.