Government Contractor Compliance & Regulatory Update

Category Archives: OFCCP

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New OFCCP Directive Introduces Early Resolution Procedures For Compliance Evaluations

Quick Hit: OFCCP’s new Directive 2019-02 sets forth Early Resolution Procedures (“ERP”) to resolve violations discovered during a desk audit of contractors with multiple establishments.  OFCCP touts that “ERP allows OFCCP and contractors with multiple establishments to cooperatively develop corporate-wide compliance with OFCCP’s requirements.”  Contractors who successfully resolve violations through ERP will be spared full scale … Continue Reading

OFCCP Rescinds Active Case Enforcement Procedures

Quick Hit:  Office of Federal Contractor Compliance Programs (“OFCCP”) has issued Directive 2019-01 (the “Directive”), which rescinds Directive 2011-01 which established OFCCP’s now-defunct Active Case Enforcement or “ACE” policy.  Through ACE, OFCCP conducted fewer but more intensive compliance evaluations of government contractors.  In issuing the Directive, OFCCP is formally ending ACE, while adopting an approach … Continue Reading

OFCCP Introduces New Directive Enhancing Compliance Guidance Programs For Contractors

Quick Hit:  The Office of Federal Contractor Compliance Programs (“OFCCP”) issued Directive 2019-03 (the “Directive”), which announces two steps the agency will take to enhance compliance assistance for contractors.  OFCCP will now make “certain Help Desk inquires and responses dynamically available and searchable as a self‐service option on OFCCP’s website.”  OFCCP will also begin using … Continue Reading

OFCCP Seeks The “Carrot” Approach With Two Contractor Recognition Programs

Quick Hit: The Office of Federal Contractor Compliance Programs (“OFCCP”) is seeking to establish two new contractor recognition programs, which would promote contractors with sound compliance programs and provide temporary relief from compliance reviews and desk audits. First, OFCCP has proposed an Excellence in Disability Inclusion Award (the “Disability Inclusion Award”), which aims to “highlight … Continue Reading

OFCCP Enters Into MOU With Employer Group

Quick Hit: OFCCP has entered into a memorandum of understanding (the “MOU ”) with the National Industry Liaison Group (the “NILG”), a non–profit employer association that focuses on affirmative action and equal employment opportunity. The MOU is aimed at facilitating communications between OFCCP and the NILG in an effort to improve contractor compliance with OFCCP requirements … Continue Reading

OFCCP Proposes New FAAP Directive

The Office of Federal Contractor Compliance Programs (“OFCCP”) is seeking approval to change its Functional Affirmative Action Program  (“FAAP”) requirements. The proposed directive, for which comments are due by November 13, 2018, proposes sweeping changes to the current FAAP directive, with the stated aim of encouraging contractors to use FAAPs.… Continue Reading

OFCCP Announces Contractor Recognition Program

The Office of Federal Contractor Compliance Programs (“OFCCP”) has announced though Directive 2018-06 (the “Directive”) the development of a Contractor Recognition Program, which aims to “recognize contractors with high-quality and high-performing compliance programs and initiatives.” The Contractor Recognition Program arises out of feedback the OFCCP received from the contracting community in 2017 and 2018. While the … Continue Reading

OFCCP Issues Directive Announcing Ombud Service

Quick Hit: OFCCP has announced its intention to create an Ombud Service. The new service will create a new position within the OFCCP, the “Ombud,” who will serve as a contact for contractors seeking to raise concerns or suggestions about OFCCP. Key Takeaways: The Ombud Service represents another example of OFCCP working to implement initiatives … Continue Reading

OFCCP Issues New Directive Addressing “Transparency In OFCCP Compliance Activities”

Quick Hit: OFCCP has issued Directive 2018-08 (the “Directive”) which sets forth new policies and procedures for OFCCP compliance evaluations. The Directive contains numerous specific rules and procedures that compliance officers must follow at every phase of a compliance evaluation. Key Takeaways: The Directive provides contractors a better sense of what they can expect during … Continue Reading

OFCCP Issues Directive Announcing “Affirmative Action Program Verification Initiative”

Quick Hit: OFCCP has issued a new Directive (Directive 2018-07), announcing its intention to develop an Affirmative Action Program Verification Initiative (the “Verification Initiative”). The Directive only notifies the contractor community that the program is in the works – for now, nothing has changed. However, the Directive shares that the program will, among other things, include … Continue Reading

OFCCP Launches New Resource For Contractors

The Office of Federal Contract Compliance Programs (“OFCCP”) has announced that it has launched a new resource for federal government contractors called the “Contracting Officer Corner.” OFCCP touts the new website as constituting “a central repository of resources, including a new pre-award process guide and downloadable workplace posters, for both federal agency contracting officials and federal … Continue Reading

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
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