Introducing ComplianceHR

ComplianceHR is a joint venture that leverages the unparalleled experience and knowledge of Littler, the largest global employment law practice, and the power of Neota Logic’s expert systems to provide a transformative suite of compliance applications for HR and legal professionals. ComplianceHR’s intelligent, web-based platform offers employers concise, yet comprehensive, information when making critical employment decisions, such as engaging independent contractors or determining overtime exempt status.

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Intelligent Q&A Guides You Through

All of ComplianceHR’s applications leverage Neota Logic’s platform decision trees, weighted factor analysis, if/then series, logic tests and other complex reasoning to assess risk based on questionnaire answers. On top of this, Littler’s in-depth analysis of statutes, regulations and case law in all U.S. jurisdictions keeps you current. The platform offers easy maintenance to support future changes to law and allows ComplianceHR to create question flows, logic and prioritization that can include any number of scenarios.

Evaluating the Impacts of the New FLSA Overtime Exemption Rules

On May 18, 2016, the U.S. Department of Labor, Wage and Hour Division announced its final changes to the regulations that govern the FLSA “white collar” overtime exemptions. The new rules focus primarily on updating the salary and compensation levels needed for Executive, Administrative and Professional workers to be exempt and mandates the largest ever hike to the minimum salary threshold.

The ComplianceHR Navigator OT application provides an online, intelligent solution delivering expert legal guidance to determine overtime exemption eligibility at internet speed & scale.

Navigator OT combines the world class subject matter expertise of Littler Mendelson with the revolutionary expert system of Neota Logic. After completing as easy-to-use online questionnaire, Navigator OT applies all applicable federal and state tests while unlocking the unprecedented and proprietary engine of over 1800 reported court decisions and DOL opinion letters – distilled, dissected, weighted and tested by the nation’s leading wage-hour experts.

The result is a clear, actionable risk assessment pegging the strength of each applicable exemption, delivered with expertly reasoned suggestions on how to lower the risk of misclassification. Together with the risk result, Navigator OT provides a summary of the federal and state exemption standards and a transcript of answers to the online questionnaire.

The minimum salary required to classify an employee as “exempt” from the new FLSA overtime requirements will increase from the current $455 per week ($23,660 annually) to $913 per week ($47,476 annually). Under these coming changes to the FLSA every employee paid less than $913 per week will be automatically entitled to overtime pay. To comply with the new rules, employers with exempt employees earning below $47,476 annually will have three options:

  1. Maintain the exemption by providing employees with a salary increase, or
  2. Reclassify the employees to non-exempt and pay overtime for work over 40 in a workweek; or
  3. Reclassify the employee as non-exempt, but setting the hourly rate to minimize additional labor costs.

ComplianceHR has developed the OT Cost Estimator application to assist you to make this decision. Simply enter information on an employee’s compensation and estimate the number of hours worked each week, and with one click, the Estimator will compare the cost of providing a salary increase versus the cost of paying overtime (using an hourly rate of current salary divided by 40 hours) as well determine the “cost neutral” hourly rate if reclassifying in a way that minimizes additional costs.

Assessing the Risk of Engaging Independent Contractors

ComplianceHR’s first product – Navigator IC – addresses the increasingly complex and critical challenges in employment law. This app’s customizable, client-specific dashboards help your organization strategically address misclassification issues and navigate ever-changing federal and state laws. Navigator IC produces individualized, auditable reports and provides immediate guidance on questions such as:

  • Which job positions within your company can lawfully be filled by independent contractors?
  • Which individuals can legally qualify as independent contractors?
  • What steps can be taken to reduce the risk of engaging someone as an independent contractor?

The complexity of independent contractor compliance is simplified by the mobile-ready, user-centric interface that provides:

  • An individualized result for each worker
  • A result in as few as five questions
  • Just-in-time help to explain key terms with a single click
  • Tips for lowering the risk score
  • Easy links to next steps of hiring/engagement
  • Integration with existing company systems

ComplianceHR’s Navigator IC provides you with instant visibility into the independent contractor engagement practices of your organization and can be configured to generate independent contractor and confidentiality agreements or even offer letters when individuals are retained as employees as a result of a risk assessment report.

The Simple Compliance Solution Is Here

ComplianceHR builds applications with employers in mind. Its apps deliver clear and actionable results with every use, empowering you to identify and reduce your liability risk with unparalleled accuracy in a fraction of the traditional time and costs.

Related People

Meghann J. Barloewen

Knowledge Management Counsel
Irvine, CA
(949) 705-3044

Jason Dirkx

Knowledge Management Counsel
Chicago, IL
(312) 846-7037

Scott D. Rechtschaffen

Chief Knowledge Officer
San Francisco, CA
(415) 677-3102

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