Creating compliant employee files

Missing SIN, incomplete forms common mistakes
By Georgia Kollias
|Canadian Payroll Reporter|Last Updated: 03/02/2011

Employee files are the central repository of all information related to the employee-employer relationship. This puts a great responsibility on employers to protect the information from theft and misuse. An individual’s personal information should be maintained with privacy, confidentiality and security in mind. Access to the employee’s files must be restricted to a need-to-know basis.

The first task a payroll professional should tackle when starting at a new organization is to audit the personnel files for compliance with privacy laws, Canada Revenue Agency (CRA) and the Ministère du Revenu du Québec (MRQ) regulations  and provincial labour standards. In doing this, they are likely to find a number of non-compliance issues, including:

•missing Social Insurance Numbers or valid work permits