Statutory risk audit
A review of applicable labour and employment compliances, registers, returns, payments and licences, with each gap rated by exposure.
Statutory risk mitigation and HR operations self-assessment
Want to scale, raise funds or open a new plant, but unsure about your compliance risk? Find the gaps before someone else does.
Compliance gaps rarely show up until the worst moment: an inspection, an investor's due diligence, an IPO process or a dispute. HRBS gives you a clear baseline of your statutory and HR operations risk, fixes the gaps in order of exposure, and sets up the calendars and records that keep you ready.
Does this sound familiar?
- You want to scale up, but don't know your HR and compliance maturity baseline.
- An investor, acquirer or lender has asked for HR due diligence, and records are scattered.
- The company is planning an IPO and HR documentation hasn't been reviewed against that standard.
- A new plant or office is opening, and nobody owns the list of registrations and licences.
- Registers, returns and renewals are tracked by memory across locations.
- Contractors' statutory compliance is assumed rather than checked.
What it costs you if nothing changes
Non-compliance carries penalties, interest and, in some cases, prosecution risk for directors and occupiers. More often, the real cost is delay: a funding round slowed by due-diligence findings, an IPO timeline pushed back, or a plant start-up held up for a missing licence. Gaps found early are usually cheap to fix. Gaps found by an inspector or an investor are not.
What we do
Six compliance services
Run as a one-time audit, a readiness project or an ongoing compliance programme.
HR operations self-assessment
A structured assessment of HR policies, processes, records and controls, giving you a maturity baseline before you scale.
Statutory due diligence
HR and labour compliance due diligence for fundraising, mergers and acquisitions, from either the buyer's or the seller's side.
IPO-readiness HR checks
Review of HR documentation, policies, compliance records and people disclosures ahead of an IPO process, in coordination with your legal advisers.
New-plant compliance set-up
A checklist of registrations, licences, registers, notices and contractor requirements for a new factory, site or office, with owners and timelines.
Compliance calendar and tracking
A multi-location calendar of returns, payments and renewals, with evidence of completion and regular status reports.
How the engagement works
- Scope. We confirm entities, locations, workforce types and the purpose: internal risk, due diligence, IPO or a new site.
- Collect and review. We review registrations, registers, returns, payment evidence, policies, contracts and contractor records.
- Report. You get a risk register with each gap rated high, medium or low, and a prioritised action plan.
- Remediate. HRBS helps close process and documentation gaps, and coordinates with your legal counsel where a legal opinion is needed.
- Stay ready. The compliance calendar and evidence folders keep you inspection-ready and diligence-ready.
Labour codes and changing rules
The four Labour Codes (Code on Wages, Industrial Relations Code, Code on Social Security and OSH Code) came into force on 21 November 2025, and the Central Rules under them were notified on 8 May 2026. States are notifying their own rules at different times — Uttar Pradesh, for example, notified its Wages, Social Security and OSH Rules in August 2026 — and some legacy registrations, registers and forms continue during the transition. Payroll calculations mostly follow the Codes; registrations, returns, registers and many thresholds follow State rules. We check applicability against the Central and State rules in force for each of your locations at the time of the engagement.
General information as of 2 October 2026; not legal advice. Rules vary by State and may change.
Who this is for
Founders preparing to raise funds or scale, companies planning an IPO, manufacturers opening new plants, and multi-location businesses that want one view of compliance status. Payroll-related deductions are covered in our Payroll & PEO service, and HR policy rewrites in HR Consultancy.
Not sure where you stand? Start with the free HR Self-Assessment, which includes questions on statutory readiness.
Why HRBS
We combine compliance with HR operations, so fixes are built into the way payroll, onboarding and records actually work, rather than left as a one-time clean-up that slides back within a year.
Free self-assessment
Where is your organisation most at risk?
50 questions, about 10 minutes. Get your HR implementation level and your top people-management risks instantly.
Often combined with
Related HR services
Payroll & PEO
Move from manual payroll errors to automated, tax-efficient salary structures with daily cost MIS and PEO support.
HR Consultancy & CHRO-as-a-Service
Culture Engineering and CHRO-as-a-Service to halt culture-driven attrition and build leaders, managers and capability.
Blue-Collar Hiring & Apprenticeship
Skilled shopfloor hiring and NAPS/NATS apprenticeship programmes that help control manpower cost and raise productivity.
FAQ
Statutory Compliance & Legal HR Service FAQs
Is HRBS a law firm?
No. HRBS is an HR consultancy. We review compliance processes and records, organise documentation and set up controls. Where a legal opinion, filing on legal grounds or representation is needed, we work with your legal counsel or can suggest you appoint one.
What does a statutory risk audit cover?
Applicable labour and employment registrations, registers, returns, contributions, licences, notices and contractor compliance for the entities and locations in scope. Applicability is confirmed against the rules in force for each location.
How long does an HR due diligence take?
It depends on the number of entities, locations, employees and how quickly documents are available. We agree a timeline once the scope and data room are confirmed.
Can you help us set up compliance for a new plant?
Yes. We prepare a checklist of the registrations, licences, registers and contractor requirements likely to apply, assign owners and timelines, and track progress to start-up.
How often should a compliance audit be done?
Most growing businesses benefit from an annual audit, plus a review before any fundraising, acquisition, IPO or new-site opening.
Ready to cure the problem, not just the process?
One 30-minute call to understand the problem and agree a clear next step.