What is a Union Audit

A union audit is an independent financial examination of a labor union or multiemployer employee benefit plan. Conducted by a licensed CPA firm, it verifies that contributions, disbursements, and financial records are accurate, complete, and compliant with applicable federal regulations — including ERISA, the Labor-Management Reporting and Disclosure Act (LMRDA), and Department of Labor (DOL) requirements.

Examples of Union Audits

• Contribution Compliance Audit — Verifies that participating employers are remitting the correct contributions to the plan based on hours worked, wages paid, or other contractual obligations.
• Health & Welfare Plan Audit — Examines the financial statements of a health and welfare fund, ensuring benefit payments, administrative expenses, and reserves are properly recorded and reported.
• Defined Benefit Pension Plan Audit — Reviews the actuarial assumptions, investment activity, and benefit distributions of a pension fund to ensure long-term financial integrity.
• Union Operating Fund Audit — Audits the general operating finances of a local or international union, including dues income, officer compensation, and expenditures, as required under the LMRDA.
• Employer Contribution Audit — A field audit performed at an employer’s location to verify payroll records and confirm that contributions reported to the plan are accurate and complete.