Non-Compliant Employees

How much time do you spend ensuring compliance in your business?   

The Australian Productivity Commission estimates that the average cost of compliance for small businesses was approximately $24,500, while medium- sized businesses spend $100,255 per annum.  When we invest so much to protect our teams, our business and our clients, it’s important to know that the team are following reasonable instructions.  

So, what can you do if they are not?  

Unfortunately, the answer is that it depends.  

Employers who have the right clauses in their employment agreements, documented policies and procedures and training in place have more options when employees are non-Compliant. Depending on the area of non-compliance, it could even result in termination for serious misconduct.  

For most of us, non-compliance should be addressed as soon as possible after it is discovered. This could be immediately, or you may need to complete an investigation to ensure you have all the necessary facts and are not jumping to conclusions.  

Once you have the information needed to make good decisions, we normally guide owners and managers through a process that will include: 

1. Confirming awareness of the area of non-compliance 
2. Understanding any mitigating circumstances for why the non-compliance occurred  
3. Exploring with the person/people involved the ramifications of non-compliance both for them personally and for the business / customers etc. 
4. Making a decision on what will happen next. Options often include: 
   • Re-training,  
   • Changes to procedures,  
   • Enhanced communication,  
   • Formal performance management, 
   • Termination in certain situations. 

As an employer we are held responsible for many things. We have a right to expect the reasonable compliance of our employees when we have ensured we are communicating clearly.  

If you have questions or concerns about the compliance of your team to necessary policies or procedures, please reach out on +1 300 474 672 or info@impacthr.com.au and we can assist.