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People risk due diligence in M&A

Assessing a target company's human capital landscape is crucial in understanding potential people-related risks and opportunities.
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People risk due diligence:

Assessing a target company's human capital landscape is crucial in understanding potential people-related risks and opportunities.

At Marsh, we provide comprehensive solutions for investment professionals and support staff within our transaction advisory services. Our specialized services include conducting people risk due diligence, arranging portfolio-wide and individual programs for portfolio companies, and mitigating people-related risks. We are committed to helping you navigate people risk due diligence and enhance the success of your investment endeavors.

Our review of the target's human capital landscape will consider:

Leadership and key people

  • Review executive terms and conditions including onerous terms and change in control conditions.
  • Identify retention concerns.

Workforce strategy and culture

  • Consider the workforce overview and design including use of contractors.
  • Talent intelligence in due diligence phase.
  • Perform a culture assessment.

Benefits and employment risks

  • Review of pension and other employment liabilities and consider the future cash requirements.
  • Assess compliance & regulatory obligations.

Employee and labor relations

  • Support on employee and labor representation negotiations as a result of the transaction.
  • Assess potential impacts of litigations and industrial actions.

Rewards and incentive plans

  • Review compensation philosophy.
  • Describe long-term and short-term incentives and payouts on transaction as well as calculating replacement plan costs.

Diversity, Equity and Inclusion

  • Provide overview of employee experience.
  • Assess where target is on DEI journey and identify ongoing risks.

Organization and work design

  • Review and understand effectiveness of structure and design.
  • Benchmarking of compensation and benefits against competitors.

HR operations and technologies

  • Assess HR function and perform gap analysis in process.
  • Comment on HR digital transformation and make recommendations for efficiencies.

Our team is dedicated to delivering exceptional transaction advisory services tailored to meet your specific needs. Our team of specialists is ready to assist you in navigating the complexities of transactions, mitigating risks, and maximizing the value of your investments. To learn more about our services, please contact one of our specialists. We look forward to partnering with you and helping you achieve your investment goals.