OFCCP Posts Date Contractors Must Use New Census EEO Tab

OFCCP has posted a notice informing contractors of the date by which they must begin using the 2006-2010 Census EEO Tabulation in the development of their written affirmative action programs (AAPs).

Federal contractors must begin using the 2010 EEO Tab to develop all AAPs commencing on or after January 1, 2014. All 2013 plans may be developed using the Census 2000 Special EEO File. Contractors may begin using the 2010 EEO Tab immediately, if they prefer.

From the notice:

OFCCP reached out to contractors and others to obtain their views on a range of issues related to transitioning to the new EEOTab. By hosting two nationwide Web chats, OFCCP recognized that some contractors have already prepared their AAPs for 2013 using the earlier data. OFCCP further recognized that, for many contractors, converting their IT systems and availability calculations to the new data will take time due to changes in the coding and categorization of data in the 2010 EEO Tab. Therefore, OFCCP will permit contractors to continue to use the Census 2000 Special EEO File in the development of all AAPs commencing in 2013.

Contractors must begin using the 2010 EEO Tab to develop all AAPs that commence on or after January 1, 2014. OFCCP will, likewise, begin using the 2010 EEO Tab to evaluate the reasonableness of all AAPs commencing on or after January I, 2014.  Contractors may, however, begin to use the 2010 EEO Tab in the development of their AAPs immediately, if they wish to do so.

 Read the full OFCCP announcement here:

http://www.dol.gov/ofccp/OFCCPNews/Census_EEO_Tab_508c.pdf

If you have questions:

Please feel free to let us know if you have any questions regarding this announcement. Contact John Piatt or Nancy Tipton by visiting www.affirmativeaction.com/contact.

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60 Minutes Report on Veterans Succeeding As Civilians

On Sunday 12th May, the CBS news magazine 60 Minutes highlighted a new initiative to put recently returning Veterans back in the workplace.

The show focused mainly on Disabled Veterans and a program sponsored in part by Pepsi Co. and Wal-Mart to help Veterans become entrepreneurs and business owners (Wal-Mart plans to hire 100,000 Veterans over the next five years). The report also argued that not enough is being done by the Government to link returning Veterans into the civilian workforce and more importantly, not enough is being done to pair them to jobs for which they are suitably qualified.

According to the report, three million Americans served in Afghanistan and Iraq, and half of returning Vets have a disability because of their service. Additionally, more soldiers committed suicide in 2012 than were killed by the enemy.

With proposed hiring/employment goals of Veterans in the near future for Federal Contractors, and rising numbers of returning Vets, it is anticipated that greater pressure will be put upon Contractors to hire those who served their country.

The recording of this 60 Minutes news report can be found at:
http://www.cbsnews.com/video/watch/?id=50146678n.

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Latest Issue of EEO Insight Focuses on Compensation Analysis Compliance

The Office of Federal Contract Compliance Program’s (OFCCP) Directive 307 surrounding Compensation Analyses has arrived. The release of the Directive has prompted Biddle Consulting Group to focus the latest issue of EEO Insight on compensation analysis compliance and practical application. EEO Insight Volume 5: Issue 1 has three power-packed articles dealing directly with compensation. The special compensation edition includes an article that delivers an easier-to-understand approach to the Directive, as well as two additional articles that help human resources practitioners appropriately apply the statistical methods behind compensation analysis.

Download the Latest Issue of EEO Insight

EEO Insight Volume 5: Issue 1
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EEO Insight subscribers receive free PDF issues twice a year. Join the BCG Institute for Workforce Development (BCGi) for free and automatically receive each issue electronically. If you’re looking for past issues, the EEO Insight archives on BCGi (over 50 articles and growing) are available to BCGi Platinum members, as are additional compensation resources, including recorded webinars wherein, Dr. Patrick Nooren distills Directive 307 and discusses applications of the new Directive for HR practitioners. BCGi Platinum members also have access to other EEO tools including a 2010 Census Crosswalk (a translation or crosswalk of the 2000 to 2010 changes), Platinum-only webinar training sessions, recorded webinar training archive, and an adverse impact calculator, to name a few.

BCGi Summer Classroom Series: Compensation Analyses

Need a refresher course in Compensation Analysis? BCGi is offering a summer compensation classroom series that will cover the statistics behind compensation analyses. <more info…>

BCGi’s mission is to inform and equip human resource professionals with the HR EEO training necessary to enhance their productivity, amplify their competitive marketability, and escalate their technical capabilities in equal employment opportunity (EEO), OFCCP compliance, affirmative action planning, compensation analysis, employment law and discrimination statistics, test development, test validation, and a variety of human resource topics with a focus on EEO.

As an HRCI Approved Provider, BCGi provides online HR EEO training created and presented by experts in the industry.

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Patrick Nooren Answers 6 Questions Hospitals Need Answered

“I’ve worked with hundreds of clients of all sizes to develop Affirmative Action Plans and support them during audits. And, with the Federal Affirmative Action Audit letters now being served to hospital HR leaders, an influx of activity has been noticed around healthcare audit preparation.”

Prophecy HealthcarePatrick Nooren, Biddle Consulting Group’s Executive Vice-President, was interviewed this week by Prophecy Healthcare. During the interview, prompted by the OFCCP’s expanded jurisdiction over hospitals, Patrick was asked six questions that hospitals need answered:

  1. “I work for a hospital that just received a CSAL letter from the OFCCP, what things should I be concentrating on most, in preparation for an upcoming audit?”
  2. “In my hospital, we have multiple steps or parts in our hiring process. Which parts are reviewed by the OFCCP and are there any ‘hot buttons’ that I should be concentrating on?”
  3. “Is it okay for our hospital to use ‘home-grown’ clinical assessments as part of the hiring process to determine if applicants possess the competencies that we’re looking for?”
  4. “Should I determine if our hospital falls under OFCCP jurisdiction when we have contracts with multiple HMO’s to provide medical services?”
  5. “It takes a lot of administrative personnel and time to meet all of the OFCCP requirements; is it really worth all the financial investment we put in to prepare ourselves?”
  6. “There are many parts included in the UGESP. What pieces should I specifically be referring, to make sure all the tests we use in the hiring process meet these requirements?”

Read the interview and Patrick’s responses to these questions on the Prophecy blog:
http://www.prophecyhealth.com/interview-with-ofccp-audit-expert-dr-patrick-nooren.

 

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OFCCP Requests Additional Compensation Information in Desk Audit Follow-Up

Since the announcement of Directive 307 there has been much speculation about how the OFCCP will audit compensation during a compliance evaluation. Nearly two months after the announcement (and a second wave of CSAL notifications) we are beginning to see some of the OFCCP’s direction through follow-up letters at the Desk Audit phase.

In a recent Desk Audit, the auditor called the contractor and requested additional compensation information.  During the call the auditor asked about the contractor’s compensation practices, the factors that lead to compensation decisions and classifications, as well as, what the contractor considered total compensation (e.g. overtime, commissions, etc.). Shortly after the call, the contractor received a follow-up letter from the auditor requesting that they submit the additional data discussed during the call.  In addition to data, the OFCCP also requested information about the contractor’s compensation policies, guidelines, grading systems, and, internal compensation audits as required in CFR 60-2.17 (b) (3).

Below is an excerpt from that follow-up letter showing the additional information requested by the OFCCP:

  1. Unique Employee ID number
  2. Gender [1]
  3. Race/Ethnicity [2]
  4. Job Title
  5. Grade
  6. Level
  7. Department
  8. Date of hire (mm/dd/yyyy)
  9. Date of last change in grade/job title (mm/dd/yyyy)
  10. Part-time vs. full-time status for all employees
  11. Exempt vs. non-exempt status
  12. Location
  13. Years of relevant experience
  14. Highest degree attained
  15. Year in which highest degree attained
  16. Rating received at most recent performance evaluation
  17. Market reference system used for the different salaries
  18. Annual base salary or hourly wage for full-time employees during the review period [3]
  19. Hourly wage and number of hours worked during the review period for part-time employees [4]
  20. Other paid allowance, if any, such as commission pay, overtime pay, bonus pay or shift differential [5]. Report each allowance in separate data columns.
  21. SSEG’s if developed [6]

Please also provide:

22. A copy of any/all compensation policies and guidelines including but not limited to:
a.  Policies or guidelines for annual performance appraisals, promotions and bonuses

23. A detailed written explanations of grade and level systems

In addition, we are requesting any internal compensation audits you have performed as stated in CFR 60-2.17 (b) (3) and a list of all individuals involved in the compensation process. Furthermore, please provide any additional information that you feel may better explain your company’s compensation system including other factors that influence compensation.

At this stage of the investigation, OFCCP’s goal is to better understand your company’s compensation practices. Therefore, if any of the items requested above are not readily available, please contact us to discuss the specifics of the situation so that the best available information and data is provided in a timely manner.

[1]  If gender is recorded using alpha or numeric codes, provide code definitions.
[2] If race/ethnicity is recorded using alpha or numeric codes, provide code definitions.
[3l Compensation  is reported for all full-time employees, including those on sales commission only. Compensation should be reported as base annual salary (excluding bonus and fringe benefits) or hourly pay rate.
[4] Compensation  for part-time employees should be reported as an hourly wage.
[5] Shift information  is requested to determine whether employees receive pay differentials dependent on shift worked. If an employee works rotating shifts, information  on hours worked in each shift should be submitted.  Shift differential should be reported separately from the base annual pay or hourly rate.
[6] SSEG refers to “similarly situated employee groups”

If you have questions…

If you have questions about Compensation Directive 307  or are facing an OFCCP audit, contact us.
We’re happy to help.

Additional Resources:

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ADA Reasonable Accommodation Process (Free Webinar)

A Free Webinar Presentation by EEO Legal Solutions

Title:
The Accommodation Conundrum: Getting Your Workplace to WORK

When:
05-15-2013 | 12:00 p.m. (MDT)

Description:
With the Americans with Disabilities Act (ADA) covering more workers than ever before, careful reasonable accommodation management can mean the difference between disabled operations and a fully functioning workplace. The EEOC and employee-side trial attorneys recently have taken expansive views of the reasonable accommodation obligation, insisting upon accommodations that (a) fundamentally alter or remove essential job functions; (b) significantly impair employer operations; and (c) pose veritable undue hardships. This webinar will offer effective strategies for managing the reasonable accommodation process, including practical guidance about how to establish core defenses like “fundamental alteration,” “undue hardship” and “elimination of essential function.”

EEO Legal Solutions successfully defended EEOC v. Picture People at the trial level and on appeal to the 10th Circuit. The EEOC argued that this retail employer must allow a deaf/mute person to substitute written notes and gestures for oral conversation used sales dialogs, as a reasonable accommodation. Read more here: http://www.bizjournals.com/denver/print-edition/2012/07/20/is-eeoc-too-aggressive.html. This litigation provides helpful insights into how the EEOC envisions the reasonable accommodation obligation and how employers can successfully fight back.

Registration:
https://attendee.gotowebinar.com/register/7201327620473329408

This is a webinar presentation by EEO Legal Solutions.

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OFCCP to Discuss Gender and Pay Equality

This Friday, April 12, at 1 p.m. EDT, the OFCCP  will host a live chat to discuss current pay gaps and the agency’s ongoing policies and initiatives to address such gaps.

You’ll be able to ask experts about the current state of women’s wages, and how Labor Department resources can help workers and businesses pursue pay equality. Representatives from the department’s Office of the Chief Economist, Office of Federal Contract Compliance Programs and Women’s Bureau will address the current pay gap and ongoing policy initiatives.

  • Jennifer Hunt, chief economist, will be on hand to talk about trends in women’s earnings over time and how closing the pay gap will benefit U.S. families and the nation’s economy.
  • Latifa Lyles, acting director of the Women’s Bureau, will answer questions about what the agency is doing to ensure economic security for working women of all ages and to encourage younger women to pursue careers in growing industries.
  • Patricia Shiu, director of the Office of Federal Contract Compliance Programs, and Pamela Coukos, senior program advisor, will address questions about how OFCCP is helping contractors comply with the law, and how recent guidance on pay equality could affect your business.

(source: http://social.dol.gov/blog/gender-and-pay-equality-join-the-conversation)

To read the full blog and register, click on the link below:

http://social.dol.gov/blog/gender-and-pay-equality-join-the-conversation

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Corporate Scheduling Announcement Letters (CSAL)

CSAL ALERT – The OFCCP has issued its latest round of CSAL’s, dated March 27th.

Take a few minutes now to read the OFCCP’s CSAL FAQ page.

What is OFCCP’s Corporate Scheduling Announcement Letter (CSAL)?

The CSAL is notification to an establishment that has been selected to undergo a compliance evaluation during the scheduling cycle. The list is generated from OFCCP’s Federal Contractor Selection System (FCSS). It is not a letter scheduling a compliance evaluation. The purposes of the CSAL are to:

  • Provide the contractor establishment’s internal EEO staff notice to obtain management support for EEO and self-audit efforts;
  • Encourage contractors to take advantage of OFCCP compliance assistance offerings;
  • Encourage contractors to focus on self-audit efforts that, if problems are adequately analyzed and corrected, saves OFCCP time/resources when we do an evaluation; and
  • Help contractors manage/budget the amount of time required for evaluation activity.

If you have any questions, feel free to contact us. We’re happy to help.

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HR 759 – the Equal Standards in Hiring Americans Act

Is Section 503 of the Rehabilitation Act NPRM – and potentially the Vietnam Era Veterans’ Readjustment Assistance Act (Section 4212) NPRM – in jeopardy of being delayed by HR 759 – the Equal Standards in Hiring Americans Act? At this point it is entirely too early to tell, but, should the Bill gain momentum, federal contractors would most likely not be required to track and analyze disability data of their workforce anytime soon.

To read more about HR 759, read the below press release:

CONGRESSMAN ALEXANDER INTRODUCES BILL TO REQUIRE DEPARTMENT OF LABOR TO FOLLOW ITS OWN REGULATIONS
02/15/13
FOR IMMEDIATE RELEASE
CONTACT: Jamie Hanks | (202) 225-8490

WASHINGTON, D.C. – Today, Rep. Rodney Alexander, R-Quitman, introduced the Equal Standards in Hiring Americans Act, which would require the Department of Labor (DOL) to abide by the same hiring regulations it is attempting to impose on federal contractors.

The DOL’s Office of Federal Contract Compliance Programs (OFCCP) has issued a proposed rule that would be forced on federal contractors and subcontractors, and would effectively require seven percent of their workforces be comprised of people with disabilities. This rule would also apply to subcontractors, and failure to meet the requirement could result in the forfeiture of government contracts.

Regarding his legislation, Alexander said, “This proposed rule has created a wave of anxiety among those in the federal contracting community, many of whom are facing severe budget cuts and are struggling to retain current employees on their payrolls. Federal contractors are wondering how they will know if they are in compliance with the rule since it is against the law for them to ask if an employee is disabled; they are also unsure if they will be required to lay off non-disabled employees and replace them with people with disabilities in order to satisfy the rule’s requirement.”

“Remarkably, it does not appear that DOL is in compliance with the regulations it is attempting to impose on federal contractors.”

“This legislation does not prevent DOL from implementing this rule; instead, it simply says that DOL cannot impose this rule on federal contractors unless it first certifies to Congress that each office and division within DOL is in compliance with the rule’s requirements.
“I appreciate the Department of Labor’s devotion to ensuring Americans with disabilities are sufficiently represented in the workplace. But when it comes to hiring, I believe our government needs to set the standard—not lead from behind. We should not be asking others to meet goals we ourselves our unwilling or unable to achieve.”

U.S. Rep. Rodney Alexander, R-Quitman, represents Louisiana’s 5th Congressional District and serves on the House Appropriations Committee.

Source: http://alexander.house.gov/press-releases-statements/congressman-alexander-introduces-bill-to-require-department-of-labor-to-follow-its-own-regulations

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President Obama Nominates Civil Rights Attorney to be the New Labor Secretary

Contrary to many pundits, President Obama did not nominate a “jobs” person to be the next Secretary of Labor. Instead, the President nominated Tom Perez, a Harvard-educated attorney and current head of the Justice Department’s Civil Rights Division. Given Mr. Perez’s education and experience, it is likely that his placement at the top of the DOL will further embolden the OFCCP to continue with their current enforcement strategies and the aggressive pursuit of civil rights violations.

 Hold on tight folks . . .

Sources:

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