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What Are The 5 Critical Steps In A Social Compliance Audit?

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By Author: Kia
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Today, many businesses are concerned about social compliance. It is the process of safeguarding the rights, health, and safety of employees and workers in the supply and distribution chain. Monitoring suppliers to ensure their employment practices are legal and ethical, and that they are taking action to remedy any issues, is part of social compliance. Social compliance audits are typically undertaken by outside auditors who adheres to a set of international standards to ensure openness. These requirements may differ depending on the facility's location and the sort of audit necessary.

5 Critical Steps in a Social Compliance Audit
Audits can be scheduled ahead of time or performed on the spot. A social audit's workflow may vary based on the standards employed, but it will always involve the following main procedures:
• Initial Meeting
• Tour of Health and Safety
• Examine Employee Documentation
• Interviews with Employees
• Meeting to Conclude

1. Initial Meeting: If the audit is unannounced, auditors will explain the reason for their visit to facility management and ...
... establish a time when the audit must begin, which should be soon after their arrival. If it is not practicable, the factory representative must be someone with the authority to deliver the necessary Social compliance documents and answer the auditor's inquiries. The manufacturing manager and human resource personnel should be present at the opening meeting.
Potential Issues: If the facility's administrators refuse to allow the audit to take place within the stipulated timeframe, the incident is documented as an audit rejection.

2. Tour of Health and Safety: This provides auditors with information about the physical working conditions as well as any health and safety concerns. They inspect the entire facility, including the factory floor, production area, warehouse, and canteen. If staff live on-site, as is usual in Asia, auditors should also check the dorms.
• Tour Checklist for Health and Safety
• During a walkthrough, auditors often look for the following:
• Enough space to move around and operate in manufacturing areas
• Sufficient ventilation
• Emergency exits that are easily accessible
• Cafeteria and loo sanitation
• Access to safe drinking water
Potential Health and Safety Concerns
Among the most common difficulties discovered during health and safety tours are:
• Inadequate safety equipment
• Unmarked or exposed electrical wiring
• Chemicals with no warning or information labels
• Personal protective equipment (PPE) is insufficient.

3. Examine Employee Documentation: Social compliance auditors examine employment records and related documents to ensure that labour regulations are followed.
Examples of Employee Documentation Checklists
• Attendance records for employees
• Payroll data from the past 6 to 12 months
• Employment agreements
• Payroll data, including overtime payments and deductions, during peak and off-peak hours
• Workers' daily start and stop times
• Payments for social insurance
• Issues with Employee Documentation
Potential Employee Documentation Issues
• Attendance records that are handwritten and cannot be validated
• Working hours are not by regional labour rules
• Inadequate proof of age documents

4. Interviews with Employees: Auditors conduct random interviews with employees to have a better understanding of their working conditions as well as their residential arrangements if they live at the site. The interviews should be voluntary and performed in private, without the presence of management or other employees. This allows employees to speak up about any unfair treatment or grievances that may deserve further investigation.

5. Meeting to Conclude: The compliance auditors wrap up their visit by meeting with facility management to go over any potential non-compliance issues and advise steps for improvement, including a Corrective Action Plan (CAP) to be signed by the facility manager.

Source link: https://www.certificationconsultancy.com/social-compliance-documents-procedures-checklist.htm

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