Services · HR Due Diligence

Mitigate HR Risks in Critical Business Transactions

Human capital represents one of the most significant assets and potential liabilities in any business transaction. Our HR Due Diligence service provides thorough assessments of workforce-related risks, compliance issues, and cultural factors that can make or break mergers, acquisitions, and market expansions.

We specialize in navigating the complex employment landscapes of India and the Middle East, where labor laws, cultural considerations, and talent dynamics require specialized expertise. Our comprehensive approach ensures you have complete visibility into HR liabilities before committing to major business decisions.

What We Offer

Our HR Due Diligence Services

Comprehensive services designed to identify and mitigate HR risks in your business transactions

Compliance Audits

Comprehensive review of labor law compliance, employment contracts, statutory benefits, and regulatory adherence across all jurisdictions. We identify potential liabilities and non-compliance risks.

Risk Assessment

Detailed evaluation of employment-related risks including pending litigation, labor disputes, termination liabilities, and potential claims. We quantify financial exposures and recommend mitigation strategies.

Legal Review

In-depth analysis of employment agreements, severance obligations, non-compete clauses, intellectual property assignments, and contractual commitments that could impact the transaction.

Policy Analysis

Evaluation of HR policies, procedures, and practices against industry standards and regulatory requirements. We assess policy gaps and alignment with best practices.

Talent Assessment

Review of organizational structure, key personnel, compensation benchmarking, retention risks, and critical skill gaps that could affect post-transaction success.

Cultural Integration

Analysis of cultural compatibility, work practices, and potential integration challenges between organizations to facilitate smooth transitions.

Use Cases

When You Need HR Due Diligence

Critical scenarios where comprehensive HR assessment protects your investment

Mergers & Acquisitions

Before acquiring or merging with another company, understand workforce liabilities, retention risks, and integration challenges to protect your investment.

Market Entry

When establishing operations in new markets, ensure compliance with local labor laws and understand talent acquisition challenges before committing resources.

Private Equity Investments

Evaluate HR risks in target companies to inform investment decisions, identify value creation opportunities, and plan post-acquisition improvements.

Restructuring

Before organizational changes, assess compliance implications, termination costs, and legal risks associated with workforce restructuring.

Joint Ventures

Understand employment obligations, cultural differences, and HR integration requirements when forming partnerships with local entities.

Divestitures

Identify employment-related separation issues, transfer obligations, and employee communication strategies when selling business units.

Frequently Asked Questions

Got Questions? We've Got Answers

Find answers to common questions about our HR due diligence services

HR due diligence evaluates people, policies, and compliance risks before acquisitions, investments, or major partnerships. It surfaces liabilities (contracts, compliance, culture, retention risk) early so you can price accurately, plan integration, and avoid post-close surprises.

We assess org structure and spans/layers, critical roles and succession, employment contracts and key-person clauses, compensation and benefits competitiveness, attrition/retention risk, performance management, HR policies and handbooks, compliance (labor, PF/ESI/Gratuity), contractor usage, ESOP plans, and ongoing employee relations issues.

A focused review is usually 2–3 weeks after data room access. Larger multi-entity or multi-country scopes can extend to 3–5 weeks. We align the depth and timeline to your deal stage and critical decision dates.

Org charts, headcount by function/location, employment/contractor templates, key employee contracts, compensation and benefits summaries, incentive/ESOP plans, attrition data, performance review summaries, policy manuals/handbooks, compliance filings (PF/ESI/Gratuity, Shops & Establishments, labor registers), and any ongoing disputes or notices.

Yes. We identify critical roles, key-person dependencies, bench strength, and succession coverage. We highlight retention risk for pivotal talent and recommend retention, transition, and succession actions as part of the integration plan.

We work under NDA, request minimum necessary data, use secure transfer/storage, anonymize where possible, and provide access on a need-to-know basis. We avoid collecting PII beyond what is required for the diligence scope.

We cover India and the Middle East. We tailor compliance and market competitiveness checks to each country’s labor laws and norms, and flag location-specific risks.

A concise red/amber/green risk summary, detailed findings by workstream (people, comp/benefits, compliance, contracts, culture/ER), retention and succession recommendations, integration priorities, and a practical action plan with owners and timelines.

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