HR & Payroll Due Diligence
HR and payroll due diligence — employment contracts, PF, ESI and labour compliance, key-person risk and employee liabilities.
- Estimate Cost
- ₹40,000 – ₹2,00,000
- Typical duration
- 14 days
Service overview
- review of
- organizational structure ,key management contracts, hr policies, employee liabilities &payroll compliance
Who needs it? / When is it needed?
Companies acquiring businesses with large workforces or critical talent retention needs.
What to expect from the WCP Professionals
HR policy audit, payroll tax compliance review, key person risk assessment, and benefit plan analysis.
Key deliverables
HR Due Diligence Report, Employee Liability Sheet, Key Talent Retention Risk Report.
Standard turnaround time
2 to 3 weeks.
Government fees, timelines & key outcomes
No government fee; the review is advisory. Any PF, ESI or labour-law shortfall found may need to be regularised with interest and damages.
Key outcomes: quantified employee liabilities and compliance gaps, and a view of key-person and retention risks.
Forms & filings involved
PF, ESI, and Labour Law compliance filings review.
Documents required
Employee list with compensation, employment contracts, PF/ESI challans, HR policies, pending employee disputes.
What we need from you
HR head access, organizational charts, and payroll registers.
Important conditions
Confidentiality regarding employee details during initial phases.
Additional information
Uncovers hidden liabilities like unpaid gratuity, severance, or pending employment litigation
The estimated cost covers indicative professional fees only. Government fees, stamp duty and taxes are payable at actuals.
How it works
- 1. Raise a service enquiry describing your requirement.
- 2. A Relationship Manager reviews it and opens it for bidding.
- 3. Pay into escrow and assign the professional you select.
- 4. Track progress to completion, then accept and release payment.
Frequently asked questions
What does HR due diligence cover?
Employment contracts, payroll, PF and ESI compliance, labour licences, gratuity and leave liabilities, disputes and key-person dependency.
Why check PF and ESI compliance?
Short payments carry interest and damages that pass to the business, so they must be quantified before the deal.
What is key-person risk?
The risk that the business depends on a few individuals who might leave after the transaction.
Do the labour codes matter for due diligence?
Yes. Changes in the definition of wages can affect PF and gratuity liabilities, so they are considered in the review.