Business compliance is important for several reasons. It helps protect the rights and well-being of employees, ensures fair and ethical business practices, mitigates legal risks and potential penalties, builds trust with customers and stakeholders, and maintains a positive reputation for the business.

HR plays a critical role in business compliance, particularly in relation to employment laws and regulations. HR professionals ensure that the business follows laws related to hiring, onboarding, employee documentation, policies and procedures, training, compensation, benefits, employee relations, and more. They help create a compliant work environment and ensure the company's HR practices align with legal requirements.

HR needs to comply with various employment laws, which may include minimum wage laws, overtime regulations, anti-discrimination and harassment laws (such as Title VII in the U.S.), family and medical leave laws (such as the FMLA in the U.S.), equal employment opportunity laws, worker classification (employee vs. independent contractor) regulations, and more.