What does a workplace audit mean for disability services providers?

A workplace audit is a strategic review of your human resources policies, procedures and practices. It helps you to minimise legal risks and reduce costs in the present, and structure your workplace in a way which allows it to thrive in the future. It has four steps.

  1. First, we get to know your organisation. You fill in a detailed questionnaire about your employees, culture, policies, procedures, contracts, pay structure and plans for the future. You provide us with a representative sample of employee records.
  1. Second, we assess whether your current processes and documentation complies with the industry-relevant legislation and Modern
  1. Third, we write a detailed report to the board or the executive management team. We identify gaps, risks and We recommend changes which help the organisation to comply with best practice in the present and excel in the future.
  1. Fourth, we provide you with a template which empowers you to conduct internal audits in the

 

How do disability services providers benefit from a workplace audit?

Workplace audits reduce legal risk

Workplace audits make organisations aware of practices which may expose them to a civil penalty or a legal claim by a disgruntled employee. In the past, we have assisted organisations to ensure that none of their staff members are being underpaid, and to put in place policies and procedures which limit the risk of a successful unfair dismissal claim.

Workplace audits save costs

Workplace audits can help managers to identify savings which can help to reduce the financial strain on an organisation. For example, we often find that disability services organisations have classified employees at a higher wage bracket than is necessary.

Workplace audits encourage efficient service delivery

Workplace audits can help managers to identify inefficiencies in the way in which an organisation’s  workforce  is  structured.  For  example,  many  disability  services organisations have large, permanent workforces employed at fixed locations for regular rostered hours. This is expensive to maintain in an environment in which funding is directed by clients. A workplace audit can help managers to structure their workforce in a way which allows employees to be deployed more flexibly to meet the demands set by individual care plans.

Workplace audits facilitate successful payment claims

Every week, well over 1,000 payment claims submitted by disability services organisations are rejected on the basis that the amount claimed exceeds the relevant item price of the service booking or exceeds the remaining available amount in the service booking. Workplace audits can identify hidden labour costs which make it difficult for organisations to deliver services within the allotted service booking budget.

Workplace audits reduce the risk of abuse

The Child Abuse Royal Commission has highlighted the way in which an absence of effective complaints policies and methods for the effective supervision of employees can help to increase the risk of child abuse. Workplace audits can help managers to identify gaps in policies and blind spots in supervision. Plugging these gaps can help organisations to combat abuse.

 

How do managers benefit from a workplace audit?

Workplace audits empower managers to achieve best practice

Workplace audits help managers to come to grips with the requirements of best human resources practice, and equips them with the skills to achieve those requirements over the medium term.

Workplace audits help managers to use their skills

Skilled managers are fundamental to the success of a not for profit organisation. These skills cannot be deployed effectively if managers do not have a comprehensive understanding of the workplace they are required to manage. Workplace audits give managers better visibility of the workplace by identifying blind spots and shining a light on problematic practices. This helps them to put their skills to work.

 

Why get an audit done now?

The NDIS is changing the rules of the game

The shift to client directed funding as part of the NDIS has changed the way in which disability  services  providers  deploy  their  workforce  and  has  created  new  cost pressures. Providers have to compete amongst each other to attract clients more than they have ever had to do in the past. A workplace audit is a good way to ensure that your workforce is aligned with the new funding model and is well placed to exploit the many opportunities it has to offer. Getting on the front foot early will give your organisation a competitive edge.

Regulators and unions are becoming more diligent

In recent years, the Fair Work Ombudsman and a number of unions have been very active in monitoring compliance with workplace laws. The Fair Work Ombudsman has made increasing use of provisions which allow managers to be fined for breaches of workplace laws committed by the organisations they manage. The entry of the National Disability Insurance Agency into the sector is also likely to prompt a renewed focus on regulatory compliance. A workplace audit can put you in a good position to keep regulators and unions onside.

Greater competition is on the horizon

The introduction of client directed funding in the United Kingdom saw a number of highly competitive for profit disability services providers enter the market. These providers have been able to develop a significant market share. A major Australian law firm recently suggested that private equity funds are taking a significant interest in the disability services sector after the introduction of the NDIS. A workplace audit can help not for profit disability services providers to achieve the level of efficiency which will be necessary to compete with new for profit market entrants.

We are specialist employment lawyers who have a long history of helping disability services organisations to manage crises and achieve their strategic goals. We are working closely with many of our clients to equip them to survive and thrive under the NDIS. We pride ourselves on our community focus and industry experience. To get started, call us on (02) 9199 8597 or email us.

 

The information contained in this post is current at the date of editing – 27 February 2023.