Legal audit of the documents that regulate labour relationships with the client's employees (accurate maintenance of service records, drafting employments agreements, availability of company's internal regulatory acts being a must) and development of the opinion on compliance of the documents audited with the Russian legislation.
Registration and recording of labour relationships in strict compliance with the law allows protecting the employer not only against claims of the regulatory authorities and administrative liability for any violations of labour law, but also against the risk of a negative outcome in case of administrative or court proceedings with its employees, which are not always obviously related to the registration of labour relationships.
The service is relevant for companies of any sectoral focus, in particular, the industrial and manufacturing companies, enterprises that engage employees on the outsourcing basis, as well as those based in areas remote areas from the head office, which complicates the interaction with the employees.
Proper HR records-keeping eliminates the risk of bringing the employer to administrative liability by the regulatory authorities for violation of the labour laws of the Russian Federation. Chapter 5 of the Administrative Code of Russian Federation provides, inter alia, for the fines to be imposed on both legal entities and their officials, as well as for the suspension of enterprise operations.
An HR audit also allows the employer reducing the risk of an unfavourable outcome of administrative and court proceedings with employees, including on cases not directly related to the registration of labour relationships. For instance, vague wording of the regulations on bonuses and the lack of internal regulatory act on the relevant issues can lead to the employer's duty to pay bonuses to the employees regardless of their performance imposed by the court. Inaccurate registration and recording of relationships with an employee may lead to the conversion of fixed-term employment agreements into open-ended employment agreements and services contracts into employment agreements, etc.
Procedure, Fees and Deadlines
Upon receipt and assessment of scope of HR documents provided by the client, as well as after determination of the number of employees and working conditions, we will determine the timeframe required for the documents processing by GRATA experts and preparation of the opinion with recommendations as to how to bring the documents provided in line with the requirements of the Russian legislation.
The average term for the development of the legal opinion starts from 2-3 weeks.
The service fee depends on the number of employees, as well as the client's working conditions, and starts from 4,500 US dollars net of VAT and additional costs.
The long experience in advising Russian and foreign employers operating in various regions of Russia on labour issues, as well as in legal representation in labour and employment-related disputes that entail the court assessment of the internal regulations and HR documentation, allows GRATA assisting the clients in the efficient registration and recording of labour relationships.
Some recent projects involving GRATA experts are:
- HR audit of the Russian subdivision of one of the world's largest pharmaceutical companies, including advising on hiring procedures, personal data processing, proper implementation of internal regulations;
- Structuring of HR records-keeping for a Russian manufacturing plant of the largest US manufacturer of motor vehicles in the course of launching the plant;
- Development, audit and legal support of the introduction of local regulations in the Russian subdivision of one of the world's largest car manufacturer;
- Representation of the Russian subsidiary of an international engineering company in respect of the claims from employees, including challenges against dismissals.
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