There are several different types of audits for principal employer organisations (PEOs).
Initial compliance audit
An initial quality audit report will form part of a corporation's application for recognition as a PEO to the department. Therefore, an initial compliance audit will need to be undertaken prior to the application's lodgement.
Initial compliance audits are carried out independently of the department. The PEO selects an approved auditor. Section 84(4) of the Further Education and Training Act 2014 states an 'approved auditor' means an auditor, or a person who is a type of auditor. The department has determined that an approved auditor means an auditor that has been accredited as a 'Lead Auditor' or higher by an appropriate accreditation body, either Exemplar Global (formerly RABQSA) or the International Register of Certificated Auditors (IRCA).
A compliance audit is conducted at least once every three years as part of the continued recognition of a PEO. The timing of a compliance audit is based on the date of either the initial compliance audit or the last compliance audit of the organisation.
Compliance audits are conducted by independent, approved auditors who are selected by the PEO.
A self-assessment audit, also called an internal audit, is conducted internally by the PEO for management review against the Queensland Quality Standards. The self-assessment audit forms the basis for the corporation's management review and self-declaration of conformity.
A PEO is required to undertake the self-assessment process by 31 December. The Chief Executive of the corporation will forward a signed statement to the department that the self-assessment audit has been completed and the corporation is compliant against the Queensland Quality Standards by 31 January of the following year.
Other audits may also include:
- an audit on complaint - an audit may be conducted following a complaint against a PEO
- a directive audit - an audit may be conducted following a directive from the department
- a monitoring audit - an audit may be conducted where a previous audit decision or risk analysis has recommended a further audit be conducted.