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Federal contractors and affirmative action — Colorado

Affirmative action and non-discrimination obligations

The Office of Federal Contract Compliance Programs (OFCCP), which is within the U.S. Department of Labor (DOL), enforces Executive Order 11246 and other laws that prohibit employment discrimination and require affirmative action by companies doing business with the federal government. The DOL estimates that roughly 24,000 businesses, employing about 28 million workers, are covered under the Executive Order and/or the laws enforced by OFCCP.

Defining affirmative action

Affirmative action refers to proactive steps an employer takes to employ, retain, and provide work opportunities for individuals from certain protected classes that may be underrepresented in the employer’s workforce. Affirmative action is not about quotas, giving preferential treatment to one protected class over others, or reducing employment standards. It is aimed at ensuring equal employment opportunities for all. Affirmative action can be mandated by law, or it may be undertaken voluntarily. This chapter focuses on certain mandatory obligations of employers that contract with the federal government, either as contractors or subcontractors.

Governing laws

Executive Order 11246 prohibits employment discrimination based on race, color, religion, sex, sexual orientation, gender identity, or national origin. This Executive Order also requires covered federal contractors and subcontractors to take actions to employ and advance the employment of qualified minorities and women, but does not require such action with respect to lesbian, gay, bisexual, or transgender individuals.

Section 503 of the Rehabilitation Act of 1973 (Section 503) prohibits employment discrimination against individuals with disabilities and requires covered federal contractors and subcontractors to take actions to employ and advance the employment of qualified individuals with disabilities.

The Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (VEVRAA) prohibits employment discrimination against certain protected veterans and requires covered federal contractors and subcontractors to take actions to employ and advance the employment of qualified protected veterans.

These laws and their related regulations impose substantial obligations on covered federal contractors and subcontractors. Noncompliance can result in harsh consequences. For instance, covered federal contractors or subcontractors who fail to comply with their affirmative action obligations may be subject to monetary damages, increased monitoring by the OFCCP, and/or even possible being prohibited from obtaining future federal contracts.

Coverage

Not all federal contractors and subcontractors are covered by Executive Order 11246, Section 503, and/or VEVRAA. Coverage is based on types of contracts, as well as the dollar amounts of those contracts. Moreover, there are higher dollar thresholds before a covered federal contractor or subcontractor is required to prepare and implement written affirmative action programs for minorities, women, individuals with disabilities, and protected veterans.

For purposes of Executive Order 11246 and the laws enforced by the OFCCP, a federal contract is an agreement between a federal governmental agency and any person for the purchase, sale, or use of personal property, or non-personal services (such as, utilities, transportation, research, construction, and insurance) that can reasonably be expected to have a total value in excess of $10,000.

A federal subcontract is an agreement between a federal contractor and any person for the purchase, sale, or use of personal property or non-personal services, which is necessary to perform a federal contract or under which any portion of the federal contractor’s contractual obligation is performed, undertaken, or assumed, which that can reasonably be expected to have a total value in excess of $10,000. For ease of reference, the terms “contractor” and “contract” shall encompass covered federal subcontractors and subcontractors, respectively, throughout the remainder of this chapter, unless otherwise noted.

A federally assisted construction contract is a construction contract paid for, in whole or in part, with funds from the federal government or funds borrowed under a federal grant, contract, loan, insurance, or guarantee. Federal contracts that are exempt from Executive Order 11246, VEVRAA, and Section 503 include:

  • contracts not exceeding $10,000, other than government bills of lading, and other than contracts and subcontracts with depositories of federal funds in any amount and with financial institutions that are issuing and paying agents for U.S. savings bonds and savings notes
  • contracts for indefinite quantities (such as, open end contracts, requirement- type contracts, federal supply schedule contracts, “call -type” contracts, and purchase notice agreements) that the employer has reason to believe will not exceed $10,000 in any one year
  • contracts for work performed outside of the United States by employees that are not recruited within the United States
  • contracts with state or local governments, unless the state or local government participates in work on or under the contract.

The following types of contracts are exempt only from Executive Order 11246:

  • contracts with religious organizations or religious educational institutions, such as religiously oriented church- related colleges and universities
  • contracts for work on or near Native American reservations.

Executive Order 11246

Executive Order 11246 covers employers that meet any one of the following criteria:

  • hold a single federal contract or federally assisted construction contract in excess of $10,000
  • have federal contracts that total in excess of $10,000 in any 12-month period
  • hold government bills of lading
  • serve as a depository of federal funds
  • are an issuing and paying agency for U.S. savings bonds and notes in any amount.

A federal contractor’s obligation to prepare and maintain a written affirmative action program pursuant to Executive Order 11246 only arises if the federal contractor has a single covered contract greater than $50,000 and has 50 or more employees. If coverage is based on serving as a depository of federal funds or acting as an issuing and paying agency for U.S. savings bonds, the federal contractor is required to prepare and maintain a written affirmative action program pursuant to Executive Order 11246 if the contractor has 50 or more employees, without regard to any dollar threshold.

Section 503

Section 503 covers employers that meet any one of the following criteria:

  • have a single federal contract in excess of $15,000
  • hold government bills of lading in excess of $15,000
  • serve as a depository of federal funds in excess of $15,000
  • are an issuing and paying agency for U.S. savings bonds and notes in excess of $15,000.

A federal contractor’s obligation to prepare and maintain a written affirmative action program pursuant to Section 503 only arises if the federal contractor has a single covered contract greater than $50,000 and has 50 or more employees. If the federal contractor serves as a depository for federal funds of $50,000 or more, or has an agreement valued at $50,000 or more to be an issuing and paying agent for savings bonds and notes, the federal contractor would be required to prepare a written affirmative action program pursuant to Section 503.

VEVRAA

VEVRAA covers employers that meet any one of the following criteria:

  • have a single federal contract in excess of $150,000
  • hold government bills of lading in excess of $150,000
  • serve as a depository of federal funds in excess of $150,000
  • are an issuing and paying agency for U.S. savings bonds and notes in excess of $150,000.

A federal contractor’s obligation to prepare and maintain a written affirmative action program pursuant to VEVRAA only arises if the federal contractor has a single covered contract greater than $150,000 and has 50 or more employees. If the federal contractor serves as a depository for federal funds of $150,000 or more, or has an agreement valued at $150,000 or more to be an issuing and paying agent for savings bonds and notes, the federal contractor would be required to prepare a written affirmative action program pursuant to VEVRAA.

The following chart summarizes the general thresholds for coverage under the Executive Order and laws enforced by OFCCP:

  Executive Order 11246 Section 503 VEVRAA
Basic threshold Federal contract(s) greater than $10,000. There is no dollar threshold for government bills of lading; entities that serve as a depository of federal funds; or entities that are an issuing and paying agency for U.S. savings bonds. A federal contract greater than $15,000. The $15,000 threshold also applies to government bills of lading; entities that serve as a depository of federal funds; and entities that are an issuing and paying agency for U.S. savings bonds.

A federal contract greater than $150,000. The $150,000 threshold also applies to government bills of lading; entities that serve as a depository of federal funds; and entities that are an issuing and paying agency for U.S. savings bonds.

Affirmative action program threshold

50 or more employees in a company and either:

(i)  a federal contract greater than $50,000

(ii) government bills of lading, which in any 12-month period total, or can reasonably be expected to total, $50,000 or more.

Note:
There is no dollar threshold for entities that serve as a depository of federal funds or entities

50 or more employees in a company and a federal contract greater than $50,000.

The $50,000 threshold also applies to government bills of lading; entities that serve as a depository of federal funds; and entities that are an issuing and paying agency for U.S. savings bonds.

50 or more employees in a company and a federal contract greater than $150,000.

The $150,000 threshold also applies to government bills of lading; entities that serve as a depository of federal funds; and entities that are an issuing and paying agency for U.S. savings bonds.

Federal contractor obligations

Federal contractors covered by Executive Order 11246 and/or the laws enforced by OFCCP have a multitude of regulatory obligations. One of the principal obligations, if the contractor meets the applicable thresholds, is preparing and maintaining a written affirmative action program.

Affirmative action program obligations

Affirmative action programs are management tools aimed at ensuring equal employment opportunities. They contain diagnostic and action-oriented components that evaluate the composition of the contractor’s workforce, compare it to the composition of the relevant labor pool, and set forth action items to address areas where women and minorities are not employed at the rate to be expected given their availability in the relevant labor pool.

As discussed in the following paragraphs, a cornerstone of an employer’s affirmative action obligations is the preparation of a written affirmative action program. Once developed, the program is not meant to sit on the shelf and collect dust. Covered contractors are required to implement the processes and initiatives in the plan, audit each process and initiative, and document and retain all compliance efforts and supporting data. Accordingly, the affirmative action program should be treated as a living, breathing document that helps guide the contractor’s employment processes and actions.

Executive Order 11246: program requirements

Affirmative action program requirements vary based on whether the federal contractor is a supply and service contractor or a construction contractor. Covered supply and service contractors must develop and maintain a written affirmative action plan for women and minorities for each establishment that has 50 or more employees at that location. For establishments with fewer than 50 employees, contractors may include employees in an affirmative action plan that covers the establishment, in an affirmative action plan where the personnel function that supports the establishment is located or in an affirmative action plan where the official to whom they report is located. If a contractor desires to establish a written affirmative plan based on functional or business units, rather than by establishment, the contractor must obtain prior approval from the OFCCP. Affirmative action programs are not required for individuals based on their sexual orientation or gender identity.

An affirmative action plan for supply and service contractors must be prepared within 120 days of the start of the covered contract for each of the contractor’s separate establishments and the program must be updated annually. The affirmative action plan is kept on file with the federal contractor and is implemented by the contractor. The affirmative action plan is submitted to the OFCCP only if and when the OFCCP requests a copy for the purpose of conducting a compliance review. The components of an affirmative action plan under Executive Order 11246 include:

  • a statement describing the contractor's policy on affirmative action
  • an analysis of the contractor's employment practices
  • an employee organizational profile
  • a job group analysis that, which groups similar jobs in terms of content, wage rates, and opportunities together
  • an analysis setting forth the percentage of minorities and women employed in each identified job group
  • an availability estimate for each job group identified, showing the number of qualified women and minorities in the applicable geographic area from which the contractor generally recruits
  • a description of placement goals, if the percentage of minorities or women employed in that job group is less than reasonably would be expected given their availability in the applicable geographic area
  • an analysis of the contractor’s employment process to determine if impediments to equal employment opportunities exist
  • a description of action-oriented programs to reduce or overcome any identified problem areas, such as outreach, recruitment, training, and other activities to increase the pool of qualified minorities and women
  • a description of the contractor’s internal audit system for measuring the effectiveness of the affirmative action program and identification of the person responsible for implementing the affirmative action program.

Construction contractors and federally -assisted construction contractors, with their typically temporary and fluid workforce, are not required to develop written affirmative action programs. Instead, the OFCCP sets goals for workforce participation by women and minorities, expressed in percentage terms for the contractor’s total workforce in each trade on all construction work in the covered area. The goals are applicable to all of the contractor’s construction work (whether or not it is federal or federally assisted) performed in the covered area. If the contractor performs construction work in a geographical area located outside of the covered area, it must apply the goals established for such geographical area where the work is actually performed. With regard to this second area, the contractor also is subject to the goals for both its federally involved and non-federally involved construction.

Construction contractors and federally -assisted construction contractors must use good faith efforts to increase the utilization of women and minorities; and the applicable regulations outline what efforts must be taken. The numerical goals in affirmative action plans are not quotas or set-asides. Contractors are required to use good faith efforts to meet their stated numerical goals, but the OFCCP cannot penalize a contractor if the goals are not met. Affirmative action does not permit contractors to discriminate in favor of any group when making employment selections and decisions.

Section 503 program requirements

Generally, contractors that are required to prepare and implement an affirmative action program pursuant to Executive Order 11246 also will be required to prepare and implement an affirmative action program under Section 503. If a contractor meets the threshold for developing and maintaining affirmative action programs for individuals with disabilities pursuant to Section 503, the contractor must prepare the program within 120 days of the start of the covered contract for each of the contractor’s separate establishments and the program must be updated annually. Construction contractors and federally-assisted construction contractors that meet the threshold requirements also are required to prepare the Section 503 affirmative action program.

Covered contractors must make the Section 503 affirmative action program available to any employee or applicant for inspection upon request. The supporting data metrics in the affirmative action program (such as, the specific numbers and percentages applicable to the contractor’s workforce, as well as the numerical analyses) may be removed from the program that is made available for inspection. The location and hours during which the program may be inspected must be posted at each establishment.

The affirmative action plan is kept on file with the federal contractor and is implemented by the contractor. The affirmative action plan is submitted to the OFCCP only if and when the OFCCP requests a copy for the purpose of conducting a compliance review. The components of an affirmative action plan under Section 503 include:

  • a statement describing the contractor’s policies on affirmative action, equal employment opportunity, and anti-harassment applicable to individuals with disabilities
  • an analysis relating to the procedures developed and implemented to ensure that individuals are not harassed on the basis of disability
  • an analysis of the contractor’s employment practices
  • a schedule for the periodic review of all physical and mental job qualification standards to ensure that, to the extent they tend to screen out qualified individuals with disabilities, that they are job-related and consistent with business necessity
  • a statement describing the contractor’s practices for providing reasonable accommodations to qualified individuals with disabilities
  • evidence that the contractor is complying with the requirements to invite voluntary self-identification
  • a review and assessment of the contractor’s external outreach and recruitment efforts
  • documentation that the contractor has implemented and disseminated, internally and externally, its commitment to affirmative action to employ and advance in employment qualified individuals with disabilities
  • documentation of the number of applicants who self-identified as individuals with disabilities or who are otherwise known to be individuals with disabilities, the total number of job openings and total number of jobs filled, the total number of applicants for all jobs, the number of applicants with disabilities hired, and the total number of applicants hired
  • establishment of a utilization goal of 7% for employment of qualified individuals with disabilities for each job group in the contractor’s workforce or, if the contractor has 100 or fewer employees, establishment of a utilization goal of 7% for employment of qualified individuals with disabilities for the entire workforce
  • an analysis of the contractor’s employment process to determine if impediments to equal employment opportunities exist
  • a description of action-oriented programs to reduce or overcome any identified problem areas, such as outreach, recruitment, training and other activities to increase the pool of qualified individuals with disabilities
  • a plan for training those involved in making employment decisions that impact Section 503
  • a description of the contractor’s internal audit system for measuring the effectiveness of the affirmative action program and identification of the person responsible for implementing the affirmative action program.

Contractors are required to use good faith efforts to meet the utilization goal, but the OFCCP cannot penalize a contractor based solely on failure to meet the utilization goal. Contractors subject to Section 503 also must document and retain all requests that they receive from individuals with disabilities for reasonable accommodations and the resolution of those requests.

VEVRAA program requirements

If a contractor meets the threshold for developing and maintaining affirmative action programs for protected veterans pursuant to VEVRAA, the contractor must prepare the affirmative action program within 120 days of the start of the covered contract for each of the contractor’s separate establishments and the program must be updated annually. Construction contractors and federally -assisted construction contractors that meet the threshold requirements also are required to prepare the VEVRAA affirmative action program.

Covered contractors must make the VEVRAA affirmative action program available to any employee or applicant for inspection upon request. Data metrics in the affirmative action program may be removed from the program that is made available for inspection. The location and hours during which the program may be inspected must be posted at each establishment. The affirmative action plan is kept on file with the federal contractor and is implemented by the contractor. The affirmative action plan is submitted to OFCCP only if and when OFCCP requests a copy for the purpose of conducting a compliance review. The components of an affirmative action plan under VEVRAA include:

  • a statement describing the contractor’s policy on affirmative action, equal employment opportunity and anti-harassment applicable to protected veterans
  • an analysis relating to the procedures developed and implemented to ensure that individuals are not harassed on the basis of their protected veteran status
  • an analysis of the contractor’s employment practices
  • a schedule for the periodic review of all physical and mental job qualification standards to ensure that, to the extent they tend to screen out qualified disabled veterans, that they are job-related and consistent with business necessity
  • a statement describing the contractor’s practices for providing reasonable accommodations to qualified disabled veterans
  • evidence that the contractor is complying with the requirements to invite voluntary self-identification
  • a review and assessment of the contractor’s external outreach and recruitment efforts
  • documentation that the contractor has implemented and disseminated, internally and externally, its commitment to affirmative action to employ and advance in employment qualified protected veterans
  • documentation of the number of applicants who self-identified as protected veterans or who are otherwise known to be protected veterans, the total number of job openings and total number of jobs filled, the total number of applicants for all jobs, the number of protected veteran applicants hired, and the total number of applicants hired
  • establishment of a hiring benchmark, in accordance with VEVRAA regulations, for employment of qualified protected veterans
  • an analysis of the contractor’s employment process to determine if impediments to equal employment opportunities exist
  • a description of action-oriented programs to reduce or overcome any identified problem areas, such as outreach, recruitment, training and other activities to increase the pool of qualified protected veterans
  • a plan for training those involved in making employment decisions that impact VEVRAA
  • a description of the contractor’s internal audit system for measuring the effectiveness of the affirmative action program and identification of the person responsible for implementing the affirmative action program.

Contractors are required to use good faith efforts to meet their established hiring benchmark, but the OFCCP cannot penalize a contractor solely because the hiring benchmark is not met.

Additional obligations for federal contractors

Federal contractors have many additional obligations. While a discussion of every potential contractor obligation is beyond the scope and intent of this chapter, below are key obligations that, if applicable to the contractor, must be implemented.

Recordkeeping

Federal contractors should be aware that they have further recordkeeping and documentation obligations, such as, for including with respect to the recruiting process, that are not fully addressed in this chapter. For instance, covered contractors must comply with the Internet applicant recordkeeping rule. Information on the Internet applicant rule may be found at:

Contractors also must document, assess, and retain all outreach efforts to women, minorities, veterans, and individuals with disabilities and make them available for inspection during an OFCCP audit. Contractors subject to Section 503 must document and retain all requests that they receive from individuals with disabilities for reasonable accommodations and the resolution of those requests. Furthermore, electronic recordkeeping information may be found at:

Postings

Federal contractors must post the “Equal Employment Opportunity is the Law” poster where applicants and employees have access to it. Any hard copy that is posted must be viewable from a wheelchair. The poster may be downloaded at:

The federal contractor’s affirmative action policy must be placed in any employee handbook or made available to employees in another manner. Federal contractors also must include a notice to applicants and employees that the affirmative action programs for veterans and individuals with disabilities are available for inspection. If the federal contractor is a party to a collective bargaining agreement, the contractor must notify union officials of the affirmative action policy and request their cooperation. Federal contractors also must send written notification of their affirmative action policy to all subcontractors and request their cooperation. Finally, affirmative action plans, if submitted to the government during an audit or a proceeding, may be disclosed pursuant to a Freedom of Information Act (FOIA) request. Because affirmative action plans are subject to disclosure in a variety of ways, contractors should be mindful of putting information in their plans that may be valuable to competitors.

Contractors subject to the National Labor Relations Act (NLRA) must provide notice of employee rights under the NLRA, the law that governs relations between unions and employers in the private sector. A copy of the poster may be found at:

Covered contractors also must include a clause in covered subcontracts and purchase orders setting out the text of the required notice or incorporating the text by reference and outlining the posting obligation.

Job advertisements and listings

When issuing solicitations and advertisements for applicants, federal contractors must indicate that they are equal employment opportunity employers and must specifically mention veterans and individuals with disabilities. Accordingly, an equal employment opportunity statement might be phrased as follows:

“EOE/AAE: Applicants will receive consideration for employment without regard to race, color, religion, sex, national origin, veteran, or disability status or any other protected class.”

Federal contractors subject to VEVRAA must list all jobs with state or local employment service delivery systems, other than executive and senior management positions meeting the Fair Labor Standards Act (FLSA) executive exemption test, see page 97, Executive employee exemption, positions that will be filled from within the contractor’s organization, and positions lasting three days or less. The listings must specifically include the following information:

  • “VEVRAA Federal Contractor”
  • the desire of the contractor to received priority referrals of protected veterans for its job openings
  • contact information for the hiring official at each hiring location who can verify the job listing information.

Moreover, the job listings must be submitted in a format accepted by the employment service. For instance, if the applicable employment service only accepts web--based listings, then the contractor generally must submit all required job listings in that format.

Voluntary self-identification

Federal contractors must ask applicants to voluntarily self-identify race/ethnicity and gender and track this information for affirmative action compliance purposes. Applicants must be asked if they are Hispanic or Latino, White (not Hispanic or Latino), Black or African American (not Hispanic or Latino), Native Hawaiian (not Hispanic or Latino) or Other Pacific Islander (not Hispanic or Latino), Asian (not Hispanic or Latino), American Indian or Alaska Native (not Hispanic or Latino) or two or more races (not Hispanic or Latino), and whether they are male or female. Applicants must be given the option of not self-identifying their race/ethnicity and gender.

Covered federal contractors must invite protected veterans and individuals with disabilities to voluntarily self-identify at two distinct points in the hiring process: pre-offer and post-offer. The OFCCP has issued a form that contractors must use for the self-identification of a disability, both pre-offer and post-offer. The form is accessible on the OFCCP’s website at:

The OFCCP has provided sample pre-offer and post-offer invitations to self-identify for veterans, which are located in the affirmative action regulations for protected veterans, Appendix B, Part 60-300—Sample Invitation to Self-Identify and may be accessed at:

Contractors may, but are not required to, use OFCCP sample forms for the self-identification of protected veterans.

Covered federal contractors also are required to survey their current workforce to allow individuals with disabilities to voluntarily self-identify. The survey must be conducted during the first year the contractor becomes subject the OFCCP’s revised regulations, which went into effect on March 24, 2014, and then every five years thereafter. Additionally, contractors must remind their employees at least once during the years in between invitations that they may voluntarily update their disability status at any time. Furthermore, contractors may identify individuals as having disabilities even if the individuals do not self-identify, if the disability is obvious (someone is missing a limb or is blind), or the disability is known to the contractor (perhaps as a result of a request for a reasonable accommodation for a disability or a statement by the employee).

All self-identification forms must be kept separate from personnel files and be treated as confidential. These forms are subject to inspection by OFCCP during an audit or other proceeding.

Minimum wage

Federal contractors covered by Executive Order 13658, which relates to the federal contracting minimum wage for work performed on covered federal contracts, must pay the established federal contracting minimum wage to all employees performing work on, or in connection with, a federal contract. This federal contracting minimum wage is higher than the federal minimum wage that applies to all employers covered by the FLSA (see Chapter 10: Wages and hours) and aims to ensure workers have a living wage.

The federal contracting minimum wage requirement applies to new contracts executed or modified after January 1, 2016. For 2022, the federal contracting minimum wage is $11.25 per hour ($7.95 per hour for tipped employees) for existing contracts. For new or extended contracts on or after January 30, 2022, the minimum wage rate is $15.00 per hour. The rate will raise to $15.00 per hour for all as of January 1, 2023. Covered federal contractors also must include a federal contracting minimum wage clause in covered subcontracts to notify contracting parties of their obligation to pay the federal contracting minimum wage and post a notice to workers of the wage requirement. Furthermore, covered contractors must notify all workers performing on or in connection with a covered contract of the applicable federal contracting minimum wage rate, which can be accomplished by posting a notice with the then current federal contracting minimum wage rate. The notice is available on the OFCCP website at:

EEO-1 reporting

Federal prime contractors and first- tier subcontractors subject to Executive Order 11246 that have 50 or more employees and a prime contract, or first-tier subcontract for $50,000 or more, must file an EEO-1 report annually with the EEO-1 Joint Reporting Committee. To find out t filing dates, visit:  

Federal contractors that serve as a depository of government funds in any amount or which are a financial institution that are issuing and paying agents for U.S. savings bonds and notes also are required to file an EEO-1 report annually. The EEO-1 report includes the race/ethnicity and gender of the contractor’s workforce, by job category. The preferred method for gathering the race/ethnicity and gender data is self-identification. Contractors may register for and access the EEO-1 report and accompanying instructions at:

VETS-4212 form

Federal contractors subject to VEVRAA that have a federal contract entered into or modified on or after December 1, 2003, in the amount of $150,000 or more must file a VETS-4212 report by September 30th of each year with the Veterans’ Employment and Training Service. The VETS-4212 report documents the types of protected veterans in the contractor’s workforce, by job category. The method for gathering the protected veteran data is self-identification. The VETS-4212 form is available through the OFCCP’s website at:​​​​​​​

Equal employment opportunity clause in contracts

Federal contractors entering into contracts with others for the performance of work related to a federal contract must notify the contracting party(ies) of their affirmative action obligations. This may be accomplished by incorporating an appropriate EEO clause in applicable contracts.

Enforcement

OFCCP audits federal contractors principally through the use of compliance evaluations and complaint investigations. If violations are found, the OFCCP generally will seek conciliation agreements with the violating contractor that require the violating contractor to undertake specified remedial action and typically involve periodic monitoring by the OFCCP. If conciliation efforts are not successful, then OFCCP may recommend an enforcement action to the U.S. Solicitor of Labor.

Remedies

Federal contractors that violate the Executive Order or laws enforced by the OFCCP may be subject to damages and/or sanctions including, but not limited to, back pay with interest, limitations on the right to bid for new federal contracts, monitoring by the OFCCP, and/or even the inability to receive future federal government contracts.

Where to go for more information

The U.S. Department of Labor (DOL) maintains a website to assist employers in complying with their obligations under Executive Order 11246, Section 503 of the Rehabilitation Act and VEVRAA at: