The Remedy: 5 Potential Strategies to Mitigate Independent Contractor Misclassification

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ComplianceHR – Simplifying the complexity of employment law

ComplianceHR offers the only on-demand, intelligent suite of HR compliance solutions focused on helping companies of all sizes address the ever-changing federal and state employment law requirements on employee handbooks, leave, onboarding, minimum wage, overtime, independent contracting, and more. All our solutions are powered by the subject matter expertise of Littler, the world’s largest employment law firm and built on Neota’s AI-powered platform. ComplianceHR solutions empower HR professionals, compliance teams, and attorneys to treat their workforce fairly while minimizing associated costs and risks. A great example of this is Navigator IC.

Overview of Navigator Independent Contractor:

Independent contractor misclassification is perhaps the most difficult employment law compliance issue that companies face today. With Congress, state legislators, federal and state agencies, unions, plaintiff’s attorneys and other groups all focused on regulating independent contracting, the legal updates and risks are seemingly endless.

If your organization engages independent contracts to get work done, you are most likely exposing your organization to significant compliance risk.
Different federal and state laws apply different tests for IC status – three, four or even six different tests may apply to a single contractor under wage-hour, unemployment, workers’ compensation, employment tax, safety and equal opportunity laws. With this complexity, how is an employer supposed to know if a worker is an independent contractor or an employee?

One of the best strategies to mitigate misclassification: Navigator Independent Contractor.

Navigator IC helps you take the guesswork out of this complex decision in a matter of minutes. And because we update all of our tools in real-time, you can be confident that the results and guidance you receive are accurate and up-to-date. This easy-to-use solution provides you with:

  • An easy-to-use questionnaire for inputting individual fact patterns
  • Risk assessments driven by expert analysis of applicable federal and state regulations and the outcomes of over 1,700 court cases
  • Instant, actionable guidance and a customized report on how to lower the risk of misclassification
  • A summary of the applicable laws
  • A complete questionnaire transcript

To learn more about ComplianceHR and Navigator Independent Contractor, sign up for a demonstration. After you’ve met with our compliance consultant,  you may be eligible for a free trial of our solutions.