As your trusted compliance partner, we want to inform you about significant recent developments concerning the Office of Federal Contract Compliance Programs (OFCCP) that may impact your organization’s compliance obligations.
Recent Developments
- Leadership Change at OFCCP: Catherine Eschbach has been appointed as the new Director of the OFCCP. As reported by the Wall Street Journal, the agency is intensifying its review of legacy affirmative action and equal employment opportunity plans submitted by federal contractors to identify potentially discriminatory employment practices.
- Policy Shifts: As we’ve previously reported, the current administration has revoked longstanding executive orders that mandated federal contractors to proactively eliminate discrimination. This move aligns with broader efforts to reassess and potentially reduce “illegal” diversity, equity, and inclusion (DEI) initiatives within federal contracting.
READ OUR INITIAL JOINT RESPONSE | ‘Affirmity Joins Prominent Industry Leaders in Best Practices Response After Revocation of EO 11246’
Implications for Federal Contractors
- Increased Scrutiny: According to the WSJ, the OFCCP is expected to conduct thorough evaluations of contractors’ previously submitted Affirmative Action Plans (AAPs). It is therefore crucial for organizations to ensure their race and sex non-discrimination plans, as well as their protected veterans and individuals with disabilities affirmative action plans, are up to date and fully compliant with current regulations, in anticipation of future scrutiny from the OFCCP.
- Uncertainty in DEI Initiatives: The evolving policy landscape may affect the legality and implementation of DEI programs. Contractors should endeavor to stay informed about these changes to navigate compliance effectively.
We will continue to share information on further developments, including future guidance on what the reviews may entail or the specific organizations targeted.
Recommended Next Steps for Federal Contractors
In the meantime, we would recommend taking the following actions:
- Review Compliance Programs: Conduct a comprehensive risk assessment of your current affirmative action and equal employment opportunity plans to ensure alignment with the latest regulatory requirements.
- Stay Informed: Monitor updates from the OFCCP and other relevant agencies to remain aware of policy changes that could impact your compliance obligations.
- Seek Expert Guidance: Check with your Affirmity consultant and/or legal counsel to interpret how these developments may specifically affect your organization and to develop appropriate strategies.
In addition to our compliance-focused risk assessment services, we offer DEI risk assessment services aimed at uncovering your non-discrimination programs’ potential legal and reputational risks (while preserving the business value of your inclusive efforts).
USE OUR CHECKLIST TO MAINTAIN BEST PRACTICES | ‘Your Post-EO 11246 Non-Discrimination Best Practice Checklist’
We understand that these changes may raise questions or concerns. Our team is committed to supporting you in maintaining compliance during this period of transition.
Please feel free to reach out to us for further clarification or assistance in navigating these developments.
About the Author
Kim Hendon, Vice President of Sales, oversees account management and sales for Affirmity. She is responsible for building successful, long-term partnerships with clients and generating new business. Having served with the company for more than 20 years, Ms. Hendon has in-depth knowledge and broad experience in all areas of workforce analytics and HR compliance.