April 2019 Newsletter

by Terri Swain


Component 1 Due May 31

The EEO-1's controversial Component 2, requiring reporting of pay by EEO-1 codes and salary bands within those categories, has been up in the air for several years now and has been the subject of litigation   This week the judge ruled that the EEOC must collect it by September 30, 2019.  The judge's order also stipulated that EEOC will have to collect a second year of data and has to choose between 2017 or 2019 calendar year data and let the court know by May 3.  The compensation report is supposed to be posted by mid July to give employers the opportunity to file it.  

The deadline to submit Component 1 - the traditional race/gender report remains May 31, 2019.  

The HR Consultant is available to assist clients with their May 2019 EEO-1 submissions and will continue to update clients on developments related to the submission of Component 2 compensation data. 

Are you on the OFCCP’s Corporate Scheduling List?

Contractors and subcontractors need to review the list, as the OFCCP will no longer send individuals CSAL’s through the mail.  Listed contractors should receive notice through e-mail.  

The OFCCP is making fast and furious changes to how it audits federal contractors and subcontractors.  Expect the volume of audits to increase 3 and 5 fold over the coming years. Also, they are asking to make changes to the scheduling letters that include:

  • break downs by ethnic races 

  • adverse impact analysis for veterans

  • disabled in applicant flow/hires.  

We will keep you posted on these developments and share our experiences with the agency as we enter this brave new world.  

There are three kinds of audits - Establishment, 503 FOCUSED review, and Compliance Checks are making a comeback.  

  • The OFCCP is taking comments on the proposed new Scheduling Letters - view them and make your voice known. Comments will be taken until June 11, 2019.   Scheduling Letters Comments

Action Items: 

  • Make sure that your AAP is produced on time and is up to date. 

  • When you receive it, please review all data to assure accuracy. 

OFCCP is INFLEXIBLE with extensions. 
 They are sending show cause notices if you don’t provide your AAP within the 30 day window, even if it traveled around the company for two weeks before it landed on your desk.  

Extensions for support documents have only been granted for 1-2 weeks in our recent experience. 

OFCCP and ODEP Insights for Disability and Inclusion Best Practices

The OFCCP and ODEP (Office of Disability Employment Policy) met this month to discuss disability and inclusion.  Citing the low labor participation rate for individuals with disabilities compared to the general population and the large disability wage gap, Director Leen (ODEP) confirmed there will be Section 503 Focused Reviews in every OFCCP CSAL list moving forward.

To prepare for a Section 503 Focused Review, contractors should visit the OFCCP’s Section 503 Resource page as well as engage with ODEP to put into place best practices.

Review:  Section 503 Resource page

ODEP:  Best Practices

Action Item:  

As far as outreach goes, emphasis should be placed on disability recruitment - this is a focus area for the agency and has bipartisan support. 

Added bonus: Many of our clients are struggling with the low unemployment rate and ability to attract and retain quality candidates.  Tapping into “differently abled” communities can be a win-win. 

Sexual Harassment charges up 13%

There has been a significant impact of the #MeToo movement in the number of sexual harassment and retaliation charges filed with the agency.   Interestingly, overall charges went down from 84,000 in 2017 to 76,000 in 2018.  But sexual harassment charges were up 13%

Retaliation was again the type of discrimination charge most frequently filed with the Equal Employment Opportunity Commission (EEOC) in fiscal year 2018, with 50% of total charges.  

Combatting all forms of workplace harassment remains a top priority of the EEOC.

 Action Items:

  • Review and update all sexual harassment policies 

  • Assure employees are made aware of these policies

  • Conduct in person training for managers and employees

  • All allegations of harassment are promptly investigated

  • Steps are taken to assure no retaliation is taking place

Learn more about the EEOC best practices and initiatives to prevent workplace harassment; significantly EEOC has found that on-line training is not effective in this space:  Best Practices

The HR Consultant Services include Respectful Work Environment Training and Third Party Investigations.  Read more about these services on our website:  https://www.thehrconsultant.com/services

April Update:

EEOC Announces Pay Data Collection Plans: 2017 and 2018 Data will be collected by September 30

Component 2 Pay Reporting drama continues!  

Barring any kind of appeal, EEOC plans to open the portal mid July so that employers can submit pay data for 2018 as well as 2017. We have not yet seen pay data reporting instructions but will stay on top of it. The grids will have salary bands for counts within EEO-1 categories and within those bands by race/gender. There are a lot of unanswered questions about this reporting with a government agency that is not known for moving fast, especially at a time when top leadership isn’t in place.  So stay tuned.  

Filing deadline for Component 1 remains May 31…the EEOC will only allow a two week extension (vs. a month) for this report and it must be requested on their website:  EEO-1 Survey

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