Executive Order 11246 (EO11246) provides that contracts entered into by federal government agencies must include specific “equal opportunity clauses,” one of which requires that those contracting with the government agree to “not discriminate against any employee or applicant for employment because of race, color, religion, sex or national origin” and to “take affirmative action” to ensure that applicants are employed and employees are treated during their employment without regard to their race, color, religion, sex, including sexual orientation or gender identity or national origin. The Department of Labor’s (DOL) Office of Federal Contract Compliance Programs (OFCCP) enforces the EO11246.
A contractor is exempted from the EO11246 and the Rehabilitation Act (Rehabilitation Act) if it has less than $15,000 collectively in federal contracts or subcontracts in any 12-month period. This dollar threshold was raised to $150,000 in the case of the Vietnam Era Veterans Readjustment Assistance Act (VEVRAA) for contracts entered into on or after December 1, 2003. If these thresholds are exceeded, the employer is subject to the affirmative action obligations as well as OFCCP jurisdiction, and the OFCCP is authorized...
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