Should employee records be stored only with HR?

Q: “I’ve got a nonprofit client whose Archives & Records Management team asserts that they are responsible for maintaining all employment records based on their “charter” from a parent organization that was written nearly 50 years ago. It is my understanding that the HR department should be the office of record (and that is what it states in their company policy), but the Records office is demanding that they receive the employee records for archival purposes. Employees in the Records office are not HIPAA trained.” – Maren, Virginia