iHR Compliance Engine — Proposal · Prepared by Haloweave

01

The market moved. The tooling didn't.

Penalties now reach 10 years' imprisonment and $7.825M fines. Demand is acute — adoption is in its infancy. Early movers with credible brands win.

Sources: Fair Work Ombudsman Annual Report 2024–25 · Yellow Canary State of Payroll Compliance Report (Lonergan Research).

02

Detection is a feature. The fix is the business.

The market leader stops at "you have a problem." iHR already runs the whole practice — Review, Advise, Remediate, Future-proof. The engine automates the first pillar, at scale.

Yellow Canary sells

A technology platform.

Detection & quantification of variances
Dashboards and reports
EA interpretation by the client's own lawyers
Australian Awards only

Then it stops. Full stop.

03

Two engines. One verdict.

A deterministic rules engine for the top Awards — 100% auditable, zero hallucination — running in parallel with an AI/RAG engine for Enterprise Agreements, edge cases and new countries. A validation layer reconciles them and escalates disagreement to a human.

DETERMINISTIC

Rules engine

Award rules hand-coded as tested logic. The source of truth for AU, today.

Top 10–20 Modern Awards
Legally defensible, millisecond checks
Primary for the POC

VALIDATION LAYER

Cross-checks both engines. Agreement → trusted. Disagreement → human review. Confidence compounds over time until AI can lead.

—

PROBABILISTIC

AI / RAG engine

Retrieves the exact clause, reasons over it, computes the rate. Scales to anything.

Enterprise Agreements & rare Awards
New-country expansion from day one
Co-pilot now, primary later

01Data ingestionCSV / API / DB → canonical schema
02Legal knowledge base~122 Awards chunked, embedded, date-aware
03Compliance engineRules + AI + validation
04Analysis & reportingVariance, root cause, board packs
05Privacy & securityAU residency · ISO 27001 · SOC 2

04

Watch the engine run the Review.

The wage-compliance Review you do by hand today — automated. A faithful preview on synthetic data: one hospital, twelve nurses, the Nurses Award 2020. Production needs 122 Awards benchmarked to 95%+ on live payroll. That gap is the build.

LIVE AUDIT SIMULATION src: stvincents_nurses_Q1-2026.csv · SYNTHETIC

05

The dashboard is 10%. This is the other 90%.

The pretty report is the easy part. Correctness lives in retrieval, date-versioning and the legal knowledge base. Two of the hard parts, made tangible.

RETRIEVAL · SIMULATED

Ask the legal knowledge base

Naïve keyword search misses clauses that don't share words. Hybrid retrieval finds the right one, date-aware, with a citation and a confidence score.

Type a question, or pick one above. The engine retrieves over the Nurses Award knowledge base.

DATE-AWARE

The same clause, two years apart

Every retrieval is date-stamped. Use last year's rate and the audit is wrong — and indefensible.

UNDER THE WATERLINE

Variance dashboard

10% visible

122-Award rules library
Legal knowledge base + parsing
Date-versioned retrieval
Validation & human-review loop
AU data residency · ISO 27001 · SOC 2

06

Where iHR wins on capability.

Same audit power as the leader — plus the things only a 25-year consultancy can do.

07

Size the exposure.

Underpayments typically run 1–3% of headcount cost. Move the slider to model a client's annual exposure — and the recoverable value the engine surfaces.

Workforce size 2,500 Avg salary $78,000 Error rate 1.8%

Estimated annual underpayment exposure $3.51M

Criminal penalty ceiling$10.5M

Engine price @ $3.50 / emp / mo$105K

Exposure : cost33×

Illustrative. Penalty ceiling is the greater of fixed maxima or 3× the underpayment.

08

An 8-week proof of concept, with gates.

Milestone-based, with go/no-go checkpoints. You see working software at Week 4, validation results at Week 6, and an end-to-end audit on real data at Week 8.

09

You asked 13 questions. Here's where we land.

Before the kickoff call. The full set is in the brief — these are the ones that decide feasibility.

10

A small team, senior throughout.

You work directly with the people doing the work — no account layers, no handoffs. The same hands that design and build the engine are the ones in the room with you.

Furqaan Khan

Founder & CEO

Client partnerships, product direction and delivery oversight.

Vikash Denzil G

CTO

System architecture, AI engineering and the build.

Joey Lansangan

Lead Designer

Product, brand and interface design across the build.

Cyril

Lead Engineer

Full-stack development, integrations and infrastructure.

11

What we've built.

A few recent products — the actual software and sites we designed and shipped, not logos. The same team builds the iHR engine.

AiroDental airodental.com

An AI front-desk for dental practices — “Laine” answers calls, books appointments and handles patient intake, with a unified practice dashboard.

Calla & Copper callacopper.com

An AI interior-design web app — upload a room photo and “Ivy” returns a shoppable redesign, with renter-safe and homeowner modes and direct checkout.

Imagescape imagescape.com.au

A portfolio and showcase site for a 30-year architecture firm — three practice studios (healthcare, education, aged care), project galleries and enquiry flows.

Journey of Compassion thejourneyofcompassion.com

A direct-to-consumer storefront for an Ayurvedic wellness brand — catalogue, bundles, subscriptions, reviews and brand storytelling.

NEXT STEP

Let's walk through it live.

Book the kickoff call. We'll align scope, confirm the phased figures, and start the data-feasibility sprint — on track for a working POC by August.

Book the kickoff call Replay the audit

iHR × Haloweave