Globalization pushes multinationals to align more and more aspects of human resources across borders. Multinationals now routinely globalize many of their HR programs, policies, benefits and other “offerings” that, back in the old days, would have been purely local. But globalizing HR offerings causes ripple effects; a big ripple is that headquarters has to watch over what it has globalized. And so after HR initiatives go global, HR compliance initiatives need to go global as well.
Cross-border HR compliance initiatives have many facets. A multinational has obvious incentives to verify that its overseas HR operations comply both with foreign local laws and with the growing list of “extraterritorial” laws that reach workplaces internationally.
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