The pandemic has brought to the fore the importance of compliances in organisations
A company no matter how big and successful is not far from trouble if not careful. It’s not just the poor growth of a company in terms of production and service that may lead to its undoing. It can extend to aspects that you previously might not have had an idea about.
Regulatory compliance is one such aspect and quite an important one. This term which not a lot of people are familiar with can cause nightmares if one is not adhering to its terms especially if you are a business owner or are involved in running an industry or company.
The recent Covid pandemic and economic shutdown have brought the term “Compliance” back to popularity. For those who are not aware of this term. It simply refers to the act of keeping oneself aware of the rule, policy, standard, law, or regulations recognised by a governing body and conforming to it to avoid legal troubles and penalties. This small term however comprises a wide array of laws, including labour and industrial, and areas covering from wages to working hours to the workplace environment and safety to dispute resolution.
One might wonder why so many laws and legislations are required for a company. The answer to this question benefits both the employers and the employees. These sets of rules and regulations have been designed to safeguard the rights of a company, its owner, and the employees who work for the company. The government has provided these laws to people so that they are not exploited from their rightful rewards for their service and their interests are safeguarded.
With the outbreak of the pandemic, industries have experienced an unprecedented economic slowdown that has forced companies and organisations to take drastic measures such as cutting wages and laying off people. Recent studies show that some economists have said that there is a job loss of 40 million people (MRD report) in the country, mostly in the unorganised sectors. Concurrently, organisations are navigating new compliance challenges as a result of the changing scenario.