When a federal contractor is formally selected for a compliance review, the OFCCP notifies the contractor by sending what is referred to as a Scheduling Letter directly to the facility that will be evaluated. The Scheduling Letter includes an Itemized Listing that requests various statistical reports and other pieces of information. Contractors are required to submit all of the data requested in the Itemized Listing to the OFCCP within 30 days of receipt of the Scheduling Letter. The current Scheduling Letter and Itemized Listing that are being used by the OFCCP have been approved by the Office of Management and Budget (OMB); however, the Scheduling Letter and Itemized Listing are set to expire on September 30, 2011. The OFCCP is taking this opportunity to propose changes to the information requested in the current Scheduling Letter and Itemized Listing.
On May 12, 2011, the OFCCP published proposed major changes to the Scheduling Letter and Itemized Listing. OFCCP’s proposals make dramatic and wide-ranging changes to the scope of information that would need to be provided at the start of a compliance review. Under the changes proposed by OFCCP, contractors would be required to provide:
• Specific demographic information on applicants, hires, promotions, and terminations, including data on minority sub-groups. Contractors would be required to provide data by job group AND job title. Specific demographic data for each job group AND job title on the pools of employees considered for promotional opportunities. This type of analysis would in essence parallel the current analysis done on applicants vs. hires.
• Specific demographic data for each job group AND job title on the total number of employees who left the company. This would include employees who left involuntarily AND employees who left voluntarily.
• Specific and comprehensive data on employees that would be used for OFCCP’s compensation analysis. This information would include items such as exempt status, time in current position, employee location, date of birth, etc. This list generally parallels the list OFCCP is currently requesting from contractors during compliance reviews. (For a complete list of the items that are currently requested, please refer to our AA Resource, Vol. 1 No. 2.) However, the proposed scheduling letter requests data on ALL employees, including contract, per diem, and temporary employees, rather than just regular employees.
• Data to be used in the compensation analyses for employees in place as of February 1, regardless of the start date of the AAP. Thus, the items to be used for the compensation analysis might cover a very different set of employees than the employees in the workforce analysis and other statistical reports in the AAP.
• Documentation and policies regarding compensation practices.
• Employment leave policies, including policies concerning Family and Medical Leave Act, maternity leave, and accommodations for religious observances and practices.
• Information on specific accommodations for persons with disabilities including accommodation policies.
• Three years of VETS-100 and/or VETS-100A reports. While the current Scheduling Letter requests three years of EEO-1 reports, there is no specific request for VETS-100 reports.
If these changes are approved, they will be very burdensome to contractors subject to an OFCCP audit. For example, contractors currently are required to provide summary information on personnel activity by job group OR job title by race and gender rather than personnel activity on job group AND job title by all minority sub-groups. The OFCCP is accepting comments about its proposed changes through July 11, 2011. We encourage contractors to review the proposed changes and submit comments to the OFCCP. Comments can be submitted via the web at http://www.regulations.gov/
Did You Know … that the contractor community can have a huge impact on proposed changes? The last time the OFCCP attempted to make significant changes to the Scheduling Letter and Itemized Listing, contractors and business advocacy groups strongly objected to the proposals and the OFCCP was prevented from making its proposed changes. This demonstrates the importance of providing comments to the OFCCP regarding their proposals.