Government Contractor Compliance & Regulatory Update

Connie Bertram

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Recognizing the Need for Clarity and Transparency, OFCCP Provides Guidance to Contractors and Compliance Officers Concerning Compensation Audits and Self-Auditing

On August 24, 2018, OFCCP released its long-awaited Directive outlining the standard procedures OFCCP will use during the course of compensation audits of federal government contractors. Concerned that it failed to provide clear guidance to contractors, the Directive rescinds and updates Directive 307, OFCCP’s most recent guidance concerning compensation audits. OFCCP explained that it “believes … Continue Reading

OFCCP Acting Director Leen Announces New Contractor Certification Program

At his closing remarks at the National Industry Liaison Group’s 2018 annual conference, Acting OFCCP Director Craig Leen announced that the OFCCP is working on a contractor certification program. Although light on details, Acting Director Leen forecast a system where contractors that did not certify compliance with their affirmative action obligations would be targeted for … Continue Reading

Breaking News: OFCCP Issues New Directive Instructing Staff to Respect Contractors’ Religious Beliefs in Enforcing Executive Order 11246

On August 10, 2018, OFCCP Acting Director Craig Leen issued Directive 2018-03  (the “Directive”), the purpose of which is to “incorporate recent developments in the law regarding religion-exercising organizations and individuals.” Most of the Directive addresses OFCCP’s regulations regarding protection from discrimination on the basis of religion and recent Executive Orders and court decisions that … Continue Reading

Breaking News: OFCCP Issues New Directive Ordering Focused Compliance Evaluations

As we previously reported , Acting OFCCP Director Craig Leen, made news at the National Industry Liaison Group annual conference last week when he announced that OFCCP would begin focused reviews of contractors. Just one week later, on August 10, 2018, OFCCP issued Directive 2018-04  (the “Directive”), directing that a portion of future scheduling lists include … Continue Reading

Breaking News From The ILG Conference: OFCCP To Bring Back Focused Section 503 Reviews

On August 2, 2018, during an impassioned speech at the National Industry Liaison Group’s annual conference in Anaheim, California, OFCCP Acting Director Craig Leen announced that the agency will bring back “focused reviews” looking at contractors’ Section 503 compliance. He made his remarks during the “Leading Practices in Disability Inclusion” break out session at the … Continue Reading

OFCCP Issues “What Contractors Can Expect” Guidance

On August 2, 2018, OFCCP issued a new publication entitled “What Contractors Can Expect .” The publication coincided with OFCCP Acting Director Craig Leen’s well-received presentation at the National Industry Liason Group’s national conference in Anaheim, California, where Proskauer partners Connie Bertram and Guy Brenner are in attendance. OFCCP had promised the “What Contractors Can Expect” … Continue Reading

OFCCP Director Resigns

Ondray T. Harris, Director of the Office of Federal Contractor Compliance Programs (“OFCCP”), resigned on July 27, 2018. No public explanation for his resignation has been provided, which came only eight months after he assumed the position. Reports indicate that Craig Leen, Senior Advisor to the OFCCP, will step into the role as Acting Director … Continue Reading

OFCCP Announces 2018 Veteran Hiring Benchmark

On March 30, 2018, the Office of Federal Contract Compliance Programs (“OFCCP”) released its 2018 Vietnam Era Veterans’ Readjustment Assistance Act (“VEVRAA”) Benchmark. Effective March 31, 2018, the new benchmark is 6.4%, slightly lower than the previous year’s 6.7% benchmark. This is OFCCP’s fourth reduction of the benchmark, which has steadily declined since its inception in 2014. The … Continue Reading

OFCCP Announces New Compliance Evaluation Experience Survey

This week, the Office of Federal Contract Compliance Programs (“OFCCP”) announced that it will be sending a survey to federal contractors in an effort to “continue improving communication, transparency, and timeliness during [its] compliance evaluations.” OFCCP’s survey appears to be the latest effort by the agency to establish a more cooperative relationship with the government … Continue Reading

Humana Settles Pay Bias Claims for $2.5 Million

Earlier this week, the Office of Federal Contract Compliance Programs (“OFCCP”) announced that it entered into a conciliation agreement with Humana Inc. (“Humana”) to resolve allegations that Humana paid hundreds of women at its Louisville, Kentucky headquarters less than their male coworkers. OFCCP asserts that in 2011 and 2012, Humana paid 753 women in consulting, … Continue Reading

OFCCP ISSUES FIRST DIRECTIVE UNDER TRUMP ADMINISTRATION

Since the beginning of the Trump Administration, federal contractors have been waiting to see what changes the new administration would make to the Office of Federal Contract Compliance Programs (“OFCCP”). Thus far, the greatest change has been more style than substance, with OFCCP officials expressing a desire to have a better relationship with the government … Continue Reading

Proskauer Publishes Article on Federal Tax Bill’s #MeToo Provision

Connie Bertram and Emilie Adams published an article in the February issue of OFCCP Digest titled “Federal Tax Bill Offers a Nod to the #MeToo Movement.”  The article focuses on a provision in the recently-passed Tax Cuts and Jobs Act that addresses corporate settlements involving claims of sexual harassment and abuse.  The provision prohibits companies … Continue Reading

Trump Administration Proposes Cuts To OFCCP Budget

On February 12, 2018, the Trump Administration released its proposed fiscal year 2019 budget. As it did last year, the budget proposes significant cuts to the funds allocated to OFCCP. The proposed budget allocates to OFCCP just over $91 million, a decrease of nearly $12.7 million (or 12.5%). The budget also seeks to cut OFCCP’s … Continue Reading

POTENTIAL GOVERNMENT SHUTDOWN – What Every Government Contractor Needs To Know

Once again, a government shutdown seems inevitable.  During previous government shutdowns, government agencies and departments issued stop-work orders, grinding work on government projects and contracts to a halt.  Contractors were then faced with the difficult task of remaining in compliance with their obligations to their employees while work and funding for those contracts has ceased. … Continue Reading

Proskauer Publishes Article on State Salary History Bans

Connie Bertram and Emilie Adams published an article in the November/December issue of OFCCP Digest titled “States and Localities Step into the Breach on Pay Equity: New and Proposed Prohibitions on the Disclosure of Salary History.” The article focuses on recent laws passed by states and localities prohibiting employers from asking job applicants about their … Continue Reading

OFCCP Settles Hiring Discrimination Case with LandCare USA, LLC

The Austin, Texas location of LandCare USA, LLC (the “Company”), a company providing landscaping services, recently entered into a conciliation agreement with the Office of Federal Contractor Compliance Programs (“OFCCP”) to settle claims that the Company had discriminated in its hiring of females, and non-Hispanic applicants in its Laborer job group.  The Company has agreed … Continue Reading

OFCCP Appoints New Director (Not Craig Leen)

Two weeks after reports emerged that a new director of the Office of Federal Contractor Compliance Programs (“OFCCP”) had been appointed, according to the OFCCP’s website, Ondray T. Harris has been appointed as the next director of the OFCCP.  The OFCCP’s website lists former Acting Director Thomas Dowd as the Deputy Director of the agency, … Continue Reading

Reports: Craig Leen’s Appointment As OFCCP Director Remains Uncertain

As we previously reported, various media outlets reported earlier this month that Coral Gables City Attorney, Craig Leen, would be appointed Director of the Office of Federal Contractor Compliance Programs (“OFCCP”).  These reports came amid silence by the Trump administration as to the anticipated appointment. Since our last post, the confusion over Mr. Leen’s role … Continue Reading

Reports: New OFCCP Director Appointed

According to multiple sources, on November 13, 2017, Craig E. Leen, was appointed the new Director of the Office of Federal Contractor Compliance Programs (“OFCCP”).  Mr. Leen has been the City Attorney for Coral Gables, Florida since 2011.  He has also served as an adjunct professor of law for universities in Florida.  If the published … Continue Reading

OFCCP Files Its First Complaint Against A Federal Contractor During the Trump Administration

On October 10, 2017, the U.S. Office of Federal Contractor Compliance Programs (“OFCCP”) filed its first Complaint against a federal contractor since President Trump took office. The Complaint alleges that contractor Advance 2000 Inc. (the “Contractor”) violated a June 2015 conciliation agreement with OFCCP by failing to submit required progress reports and failing to respond to … Continue Reading

Sanctions Award Strengthens Fight to Protect Confidential Company Records

On October 18, 2017, a federal district judge in Alaska ordered a former employee to pay nearly $170,000 of his ex-employer’s legal fees as sanction for removing nine attorney-client privileged documents prior to his termination. The ruling was based on a decision this summer that the former employee willfully and deliberately disobeyed established norms of … Continue Reading
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