In assessing the client's relationship with its employees, the auditor will consider:

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The auditor will consider all of the above factors when assessing the client's relationship with its employees. The level of unionisation among the workforce can provide insight into labour relations and potential liabilities. The attitude of staff to their employer can indicate job satisfaction and potential turnover risks. How well a client pays its employees can affect morale and may impact the accuracy of financial statements due to the risk of internal fraud. Therefore, all of these factors are important to consider for the auditor in assessing the client's relationship with its employees.

In Assessing the Client's Relationship with Its Employees, the Auditor