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AMERICA’S LARGEST DRUG STORE CHAIN SETTLES EEOC DISABILITY DISCRIMINATION

JUNE 2, 2014 - SAN FRANCISCO - Walgreens has agreed to pay $180,000 to a longtime employee with diabetes and to implement revised policies and training to settle a disability discrimination lawsuit filed by EEOC. EEOC alleged Walgreens fired the former cashier because of her disability after she ate a $1.39 bag of chips during a hypoglycemic attack in order to stabilize her blood sugar level.

http://www.eeoc.gov/eeoc/newsroom/release/7-2-14b.cfm
 

WINEBRENNER TRANSFER WILL PAY $42,000 TO SETTLE EEOC RETALIATION LAWSUIT

JUNE 6, 2014 - BALTIMORE - Winebrenner Transfer, Inc., will pay $42,000 and furnish significant equitable relief to resolve a lawsuit for retaliation filed by EEOC. EEOC charged that a female truck driver was terminated after she sent the owner a text message saying she believed she was paid less than male co-workers for the same work because she was female.

http://www.eeoc.gov/eeoc/newsroom/release/6-6-14.cfm
 

PRINCETON HEALTHCARE PAYS $1.35 MILLION TO SETTLE DISBAILITY SUIT

June 30, 2013 - TRENTON, N.J. - EEOC's suit alleged that Princeton Healthcare’s fixed leave policy failed to consider leave as a reasonable accommodation, in violation of the Americans with Disabilities Act (ADA). Princeton’s policy meant that employees who were not eligible for FMLA leave were fired after being absent for a short time, and many more were fired once they were out more than 12 weeks.

http://www.eeoc.gov/eeoc/newsroom/release/6-30-14.cfm
 

OFCCP SETTLES HIRING DISCRIMINATION CASE WITH LINCOLN ELECTRIC

JUNE 12, 2014 - WASHINGTON, DC -For the second time in 11 years, OFCCP has settled a hiring discrimination case with Lincoln Electric. The company will pay $1 million and provide 48 job opportunities to 5,557 qualified African American workers who were unfairly rejected for jobs at the company’s Cleveland, Ohio facility. Lincoln Electric used an application system and testing process that violated the law by creating an adverse impact on African American workers.

http://www.dol.gov/opa/media/press/ofccp/OFCCP20140506.htm
 

OFCCP SETTLES HIRING DISCRIMINATION WITH PARSONS BRINCKERHOFF

MAY 8, 2014 - NEW YORK - Parsons Brinckerhoff will pay almost $200,000 to 247 minority workers rejected for engineering positions.

http://www.dol.gov/opa/media/press/ofccp/OFCCP20140406.htm
 

OFCCP ISSUES DIRECTIVE ON TRICARE ENFORCEMENT ACTIVITES

May 7, 2014 - WASHINGTON, DC - OFCCP’s Directive establishes a five-year moratorium on enforcement of the affirmative obligations required of all TRICARE subcontractors.

http://www.dol.gov/ofccp/regs/compliance/directives/dir2014_01.htm
 

OFCCP ISSUES FAQS ON TRICARE

http://www.dol.gov/ofccp/regs/compliance/faqs/tricare_faq.htm#Q0E
 

OFCCP PILOTS NEW SELF-SERVICE OPTIONS FOR STAKEHOLDERS

Submit questions and check the status of complaints directly through OFCCP’s home page website on the Workforce Corner section.

http://www.dol.gov/ofccp/
 

OFCCP ISSUES UPDATED FAQS

503
http://www.dol.gov/ofccp/regs/compliance/faqs/503_faq.htm

VEVRAA
http://www.dol.gov/ofccp/regs/compliance/faqs/VEVRAA_faq.htm
 

FMLA NOTICE OF PROPOSED RULEMAKING (NPRM)

JUNE 20, 2014 – The NPRM proposes to amend the definition of spouse so that eligible employees in legal same-sex marriages will be able to take FMLA leave to care for their spouse or family member, regardless of where they live.

http://www.dol.gov/whd/fmla/nprm-spouse/
 

EXECUTIVE ORDER 11246
NON-RETALIATION FOR DISCLOSURE OF COMPENSATION INFORMATION

April 8, 2014 – WASHINGTON - President Obama issued an Executive Order amending Executive Order 11246 on retaliation for the disclosure of compensation information. Executive Order 11246 amendment prohibits federal contractors from discriminating against employees and applicants who have inquired about, discussed or disclosed compensation information. Within 160 days, the Department of Labor will issue regulations to implement the requirements of this order. The order is effective immediately and applies to contracts entered into on or after the effective date of the regulations.

http://www.whitehouse.gov/the-press-office/2014/04/08/executive-order-non-retaliation-disclosure-compensation-information
 PRESIDENTIAL MEMORANDUM

ADVANCING PAY EQUALITY THROUGH COMPENSATION DATA COLLECTION

April 8, 2014 – WASHINGTON - President Obama issued a Presidential Memorandum on advancing pay equality through compensation data collection wherein the Department of Labor has been directed to propose rules within 120 days that would require Federal contractors and subcontractors to submit to DOL summary data on the compensation paid their employees, including data on race and sex.

http://www.whitehouse.gov/the-press-office/2014/04/08/presidential-memorandum-advancing-pay-equality-through-compensation-data
 

$2.2M CARGILL SETTLES HIRING DISCRIMINATION WITH OFCCP

January 22, 2014 – WASHINGTON - Cargill Meat Solutions agreed to pay $2.2M to settle charges of hiring discrimination based on race African Americans, Hispanics and Caucasians) and sex (females) as well as other violations with OFCCP.

http://www.dol.gov/opa/media/press/ofccp/OFCCP20140010.htm
 

CONSTRUCTORA SANTIAGO II CORP SETTLES SEXUAL HARASSMENT AND DISCRIMINATION WITH OFCCP

April 2, 2014 - SAN JUAN, Puerto Rico - Constructora Santiago II Corp., a federal construction contractor will make a lump sum payment of $40,000 to three female carpenters who were sexually harassed, retaliated against and denied regular and overtime work hours comparable to those of their male counterparts.

http://www.dol.gov/opa/media/press/ofccp/OFCCP20140363.htm
 

VEVRAA BENCHMARK DATABASE

Contractors required by the Vietnam Era Veterans’ Readjustment Assistance Act (VEVRAA) to develop a written affirmative action program (AAP) must also establish a hiring benchmark for protected veterans each year, or adopt the national benchmark provided by OFCCP currently at 7.2%. The hiring benchmark must be implemented and included in the first AAP and subsequent AAPs following the effective date of March 24, 2014. The VEVRAA Benchmark Database provides information regarding the establishment of hiring benchmarks and easy access to the national and State data that may be needed to establish benchmarks.

http://www.dol-esa.gov/errd/VEVRAA.jsp
 

Hurley Medical Center Agrees to Settle EEOC Race Discrimination Case

9/26/2013 - DETROIT - Hurley Medical Center in Genesee County, Mich., entered into an agreement with EEOC over claims that an African-American nurse was not allowed to care for a white baby in the Neonatal Intensive Care Unit in November 2012 because of her race, supposedly due to customer preference. The federal agency also reviewed the hospital's broader policies with respect to assignments. Assignment of employees based on customer racial preferences violates Title VII of the Civil Rights Act of 1964.

http://www.eeoc.gov/eeoc/newsroom/release/9-26-13e.cfm
 

OFCCP ISSUES FINAL VEVRAA & 503 RULES

Final Rules were published in the Federal Register on September 24, 2013, and become effective on March 24, 2014. However, current contractors with a written affirmative action program (AAP) already in place on the effective date have additional time to come into compliance with the AAP requirements. The compliance structure seeks to provide contractors the opportunity to maintain their current AAP cycle. Highlights of the Final Rules 41 CFR Part 60-250 rescinded in it’s entirety. VEVRAA Hiring benchmarks: Contractors may choose to establish a benchmark equal to the national percentage of veterans in the civilian labor force, currently 8%; or may establish their own benchmarks prescribed by the Final Rule. 503 Utilization Goal: Contractors will apply the goal of 7% to each of their job groups for locations over 100 employees, or to their entire workforce for locations with fewer than 100 employees. Data collection: Contractors must document and update annually several quantitative comparisons for the number of veterans and individuals with disabilities who apply for jobs and the number of veterans and individuals with disabilities they hire. The data must be maintained for three years to be used to spot trends. Invitation to Self-Identify: The Final Rule requires that contractors invite applicants to self-identify as protected veterans at both the pre-offer and post-offer phases of the application process. The Final Rule includes sample invitations to self-identify that contractors may use. Incorporation of the EO Clause: Specifically, the clause shall be made a part of the contract by citation 41 CFR § 60-300.5(a), and 41 CFR § 60-741.5(a), and inclusion of the specified language, in bold text, after the respective citation Job Listings: Contractors must provide information in a manner and format permitted by the appropriate State or local job service, so that it can access and use the information to make the job listings available to job seekers. Records Access: The Final Rule requires contractors, upon request, to inform OFCCP of all formats in which it maintains its records and provide them to OFCCP in whichever of those formats OFCCP requests. EEO Policy Statement: The contractor must ensure that employees and applicants are provided the notice in a form that is accessible and understandable to the individual with a disability (e.g., providing Braille or large print versions of the notice, or posting a copy of the notice at a lower height for easy viewing by a person using a wheelchair).

www.dol.gov/ofccp/VEVRAARule and www.dol.gov/ofccp/503Rule
 

FCCP PUBLISHES NEWLY REVISED FEDERAL CONTRACT COMPLIANCE MANUAL (FCCM)

The newly revis executing quality and timely compliance evaluations and complaint investigations. http://www.dol.gov/OFCCP/regs/compliance/fccm/fccmanul.htm
 

MEDTRONIC SETTLES DISCRIMINATION LAWSUIT WITH OFCCP

9/23/2013 – Boston - Medtronic to pay $290,000 in wage discrimination lawsuit settlement affecting 78 Hispanic workers. http://www.dol.gov/opa/media/press/ofccp/OFCCP20131811.htm
 

           
 

RESCARE HOMECARE SPOKANE SETTLES OFCCP ALLEGATIONS OF DISCRIMINATION

9/12/2013 – Seattle - ResCare HomeCare Spokane settles charges of discrimination against 77 male job seekers. http://www.dol.gov/opa/media/press/ofccp/OFCCP20131572.htm
 

L & M CONSTRUCTION SETTLES SEXUAL HARASSMENT

7/29/2013 – Washington, DC - L&M Construction to pay nearly $113,000 to settle sexual harassment and interference with a federal investigation affecting 14 Hispanic workers.
http://www.dol.gov/opa/media/press/ofccp/OFCCP20131460.htm

TUFTS ASSOCIATED HEALTH PLANS INC. SETTLES LABOR DEPARTMENT CHARGES OF RETALIATION 

7/17/2013 BOSTON - Tufts Associated Health Plans Inc. has agreed to pay $372,739 to 12 Asian, Hispanic and African American workers following an investigation by the U.S. Department of Labor's Office of Federal Contract Compliance Programs. The agreement settles allegations that the contractor violated provisions of Executive Order 11246 by retaliating against employees that OFCCP had determined were victims of discrimination in an earlier investigation. Specifically, minority class members were segregated from other employees and held to stricter standards than non-class members during the training program.

In addition to paying $372,739 to the class members, Tufts has agreed to ensure full compliance with Executive Order 11246 by providing training to managers and trainers involved in enforcing the equal employment opportunity and non-retaliation provisions of the Executive Order.

To view OFCCP’s press release visit: Click Here

EEOC FILES SUIT AGAINST TWO EMPLOYERS FOR USE OF CRIMINAL BACKGROUND CHECKS 

6/11/13 WASHINGTON - The U.S. Equal Employment Opportunity Commission alleges in two separate lawsuits filed against 1) BMW’s manufacturing facility in South Carolina; and 2) Dolgencorp, doing business as Dollar General in the United States, the largest small-box discount retailer. EEOC alleges that both employers violated Title VII of the Civil Rights Act by implementing and utilizing a criminal background policy that resulted in employees being fired and others being screened out for employment.
EEOC alleges that BMW fired and denied hire to a class of African American employees who worked successfully for years; and that the policy is not job related and consistent with business necessity.

EEOC filed a nationwide lawsuit based on discrimination charges filed by two rejected African American applicants. That lawsuit charges that Dollar General conditions all of its job offers on criminal background checks, which results in a disparate impact against African Americans. Dollar General operates 10,000 stores in 40 states, plus 11 distribution centers. Ninety percent of all Dollar General employees are store clerks who are both stockers and cashiers at the stores.

To view EEOC’s press release visit: Click Here

EEOC SETTLES CLASS ACTION LAWSUIT – PRERITE CORPORATION TO PAY $700,000, AND OFFER JOB 

4/30/13 CLEVELAND - Presrite Corporation, a manufacturing company headquartered in Cleveland that makes gears and other industrial parts, will pay $700,000, offer jobs to no fewer than 40 women, and commit to other injunctive relief to settle a systemic class action lawsuit brought by the U.S. Equal Employment Opportunity Commission (EEOC), the agency announced today.

Under the terms of a publicly filed consent decree, Presrite will pay $700,000 in compensatory damages, and hire 40 females, among other measures designed to prevent future discrimination. Such measures include submitting periodic reports to EEOC disclosing the number of females and males who applied as compared to those who were hired; mandatory training; and compulsory retention of applicant and employment records, including creating and producing electronic data. The decree includes an injunction prohibiting Presrite from discriminating against women in the recruitment and hiring process, compelling the company to make all good-faith, reasonably necessary efforts to find female candidates to fill vacancies in laborer or operative positions.

To view EEOC’s press release: Click Here

EEOC SUES LEADING NATIONAL FOOD DISTRIBUTOR FOR SYSTEMATICALLY REFUSAL TO HIRE WOMEN 

6/17/2013 BALTIMORE - A national marketer and distributor of national and proprietary-branded food and food-related products engaged in a pattern or practice of failing to hire female applicants for operative positions at distribution centers nationwide, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit.

According to the EEOC’s lawsuit, since at least Jan. 1, 2004, Performance Food Group, Inc., and its predecessor, subsidiary and affiliate companies (PFG), have engaged in an ongoing pattern of refusing to hire women for operative positions at their broadline distribution facilities.

PFG senior vice presidents and other high-ranking management officials repeatedly made comments that were tantamount to directing managers to favor males and to discriminate against females in hiring, the EEOC charged. Company vice presidents openly proclaimed a bias against employing women, including stating that women cannot do warehouse work and questioning, “Why would we ever waste our time bringing in females?” Vice presidents also said that women would slow down the operation and that it would be a good idea to get the females “out of here.” Company officials also pressured one facility to discharge a female employee and asked why they continued to “hire these girls,” the EEOC said in the lawsuit.

To view EEOC’s press release, Click Here

SECRETARY OF LABOR HILDA L. SOLIS RESIGNS 

1/9/2013 WASHINGTON - Secretary of Labor Hilda L. Solis, the first and only, Hispanic American woman to hold a top Cabinet post submitted her resignation to President Obama today. Secretary Solis’ resignation follows the resignation of Lisa Jackson, Environmental Protection Agency Administrator, the pending resignation of Hillary Clinton, Secretary of State, and the withdrawal of Susan Rice from consideration for Secretary of State.

Under Secretary Solis direction, more than 1.7 million people have completed federally-funded job training programs; of those, more than one million have earned industry-recognized credentials, making a difference for the American Workers. In addition, Labor Department investments in our community colleges have expanded their capacity to provide local, flexible, employer-specific job training to millions of Americans, and transformed these institutions into engines of economic growth, assisting big and large organizations realize the benefit of hiring returning veterans, and we can’t overlook the countless drafting of new regulations.

While much has been achieved by the Department of Labor under Secretary Solis, there is much unfinished business, and the million dollar question is what impact will Secretary Solis’ resignation have on the Department of Labor’s enforcement efforts? Will there be other resignations? What impact will Secretary Solis’ resignation have on each agency’s regulatory agenda? Who will replace Secretary Solis? What will the new Secretary of Labor’s agenda be, will it change or continue on the path in place today? The list goes on….

DOL’s press release on Secretary Solis resignation may be viewed at: Click Here
 

MEYER TOOL WILL PAY $325,000 TO 60 AFRICAN-AMERICAN APPLICANTS TO SETTLE US LABOR DEPARTMENT ALLEGATIONS OF RACIAL DISCRIMINATION AT CINCINNATI PLANT 

9/17/2012 CINCINNATI - The U.S. Department of Labor’s Office of Federal Contract Compliance Programs has reached an agreement with federal contractor Meyer Tool Inc. to settle findings of race-based hiring discrimination. Under a consent judgment approved by a Labor Department administrative law judge, Meyer Tool will pay $325,000 in back wages and interest to 60 qualified African-American applicants who were rejected for entry-level machinist positions at the company’s manufacturing plant in Cincinnati. Meyer Tool also will extend job offers to at least 11 members of the original class as positions become available.

Under the terms of the consent judgment, Meyer Tool not only will provide financial remedies and job offers to the affected workers, but also will maintain employment records as required by law, provide equal employment opportunity training to all employees involved in the hiring process and submit detailed progress reports on this front to OFCCP for the next two years.

To view OFCCP’s press release visit: Click Here

UNIFORMED SERVICES EMPLOYMENT AND REEMPLOYMENT RIGHTS ACT (USERRA) 

USERRA protects civilian job rights and benefits for veterans and members of the active and Reserve components of the U.S. armed forces. Uniformed Services Employment and Reemployment Rights Act (USERRA) provides that returning service-members must be promptly reemployed in the same position that they would have attained had they not been absent for military service, with the same seniority, status and pay, as well as other rights and benefits determined by seniority.

 In FY 2011, VETS reviewed 1,548 new unique USERRA complaint cases, up 110 cases from those received in FY 2010. Nearly 35 percent of the complaints reviewed by VETS contained allegations of some form of employment discrimination on the basis of past, present, or future, military service, status, or obligations. An additional 25 percent of the complaints involved allegations of improper reinstatement into civilian jobs following military service.

For more information visit: Click Here

Are you interested in learning more about USERRA? The Department of Labor has developed an on-line introduction to the rules and regulations surrounding USERRA, “USERRA 101.” To sign up for the course, proceed to USERRA 101. You will need to provide your business information to register for and access the course materials.

US DEPARTMENT OF LABOR’S LANDMARK ENHANCED COMPLIANCE MEASURES RESOLVES ACTION HOLDING PRIME CONTRACTOR RESPONSIBLE FOR VIOLATIONS OF ITS’ SUBCONTRACTORS 

7/26/2012 NEW YORK - The U.S. Department of Labor sent a strong message today that it will seek to hold general contractors responsible not only for their own violations of federal labor law, but also for those committed by their subcontractors, when it filed consent findings and an order against Lettire Construction Corp. The consent findings and order were filed today with the department’s Office of Administrative Law Judges against Lettire Construction Corp., an industry leader in affordable housing construction, and its president, Nicholas Lettire, a New York general contractor.

To view DOL’s press release visit: Click Here

YRC/YELLOW TRANSPORTATION $11 MILLION CONSENT DECREE 

6/292012 CHICAGO - Yellow Transportation, Inc. and YRC, Inc. entered into an $11 million consent decree to resolve EEOC’s charge that Yellow Transportation, Inc. and YRC, Inc. subjected African-American employees at its Chicago Ridge, Ill., facility to a racially hostile working environment and discriminatory terms and conditions of employment.

The consent decree enjoins YRC from engaging in any further discrimination because of race and from retaliating against people who complain about racial bias. The decree also requires YRC to retain consultants to examine the company’s discipline and work assignment procedures and recommend changes to prevent racial disparities. Activities at Chicago Heights are being reviewed by a court-appointed monitor who will oversee the company’s response to complaints and report semi-annually to the court and to the EEOC on the company’s compliance with the decree.

To view EEOC’s press release visit: Click Here

GIUMARRA VINEYARDS AGREES TO SETTLE EEOC SUIT FILED ON BEHALF OF INDIGENOUS FARMWORKERS 

7/2/2012 FRESNO - Giumarra Vineyards, one of the largest growers of table grapes in the United States, has agreed to settle a sexual harassment and retaliation lawsuit filed by EEOC. The Company agreed to expend $350,000 to resolve EEOC’s charges and to comprehensive and sweeping changes of company procedures in dealing with discrimination and retaliation, affecting up to 3,000 employees.

Giumarra agreed to devote part of the settlement to train its work force, including hiring a third-party trainer to conduct training on sexual harassment and retaliation for thousands of its migrant farmworkers, other employees and incoming new staff regarding sexual harassment and retaliation in languages that the employees understand. Management and human resources officials will also be trained annually and receive additional training on how to appropriately handle such complaints.

Giumarra also agreed to implement changes to revamp its anti-discrimination policies and complaint procedures dealing with sexual harassment, discrimination and retaliation in the workplace. The EEOC will monitor compliance of the consent decree over the 3-year period.

Visit EEOC’s press release at: Click Here

EEOC AND BP RESOLVE CLAIMS RELATED TO CONTRACTOR HIRING DURING GULF RESPONSE 

6/29/2012 HOUSTON - EEOC and BP Exploration and Production, Inc. announced today a voluntary resolution of an EEOC investigation relating to the hiring of women by contractors providing temporary labor for the oil spill response in 2010.

The resolution, memorialized in a confidential conciliation agreement, avoids protracted litigation and covers a class of female applicants in Texas, Louisiana, Mississippi, Alabama and Florida.

Visit EEOC’s press release at: Click Here

A RED CARPET PREMIERE FROM OFCCP 

For nearly half a century, the Office of Federal Contract Compliance Programs has been changing the lives of ordinary people by making American workplaces safer, fairer and more diverse. A Red Carpet Premiere of OFCCP “Opening Doors,” is a mini-documentary that captures the essence of what OFCCP does each and every day.

To view OFCCP’s documentary on changing lives of ordinary people visit: Click Here

BALDOR ELECTRIC TO PAY $2 MILLION TO SETTLE HIRING DISCRIMINATION 

6/25/2012 WASHINGTON - OFCCP announced that Baldor Electric Co. has agreed to settle allegations of systemic discrimination stemming from the company's applicant screening process at its facility in Fort Smith, Ark. OFCCP investigators determined that the process had a disparate impact on 795 qualified women, African-Americans and job seekers of Asian and Hispanic descent when they were denied the opportunity to advance to the interview stage when applying for production and laborer positions.

Under the terms of the conciliation agreement, Baldor agreed to pay a total of $2 million in back wages and interest to the affected individuals and will make at least 50 job offers to members of the original class as positions become available. The company has also agreed to undertake extensive self-monitoring measures to ensure that all hiring practices fully comply with the law, including record-keeping requirements.

To view OFCCP’s press release visit: Click Here

AND THE SURVEY SAYS…..THE IMPACT OF OFCCP’S AGGRESSIVE ENFORCEMENT AGENDA ON COMPLIANCE EVALUATION RESULTSUnrecognized Guid format.

By Sandra Hueneman
June 23, 2012

On May 30th and June 20th, Sandra Hueneman, President, Manchester Consultants, and Teresa Turner, Synchronized Resources, Inc., conducted webinars designed to share the results of a study Manchester Consultants undertook in April 2012, the purpose of which was to determine the impact of OFCCP’s aggressive enforcement agenda on compliance evaluation outcomes in FY 2012 YTD, as compared to recent years.

In that regard, the study included a review of OFCCP compliance evaluations closed between FY 2008 and FY 2012 YTD as of April 27, 2012 (hereinafter FY 2012 YTD), as reported in the Department of Labor Enforcement Database. At the time of this study, OFCCP had concluded approximately 7 months of closures for FY 2012 YTD.

In setting the stage for the presentation, Sandra conducted a public poll, which was posted on several LinkedIn discussion forums, to ascertain what the contractor community perceived as violations most frequently cited by OFCCP today. While recordkeeping was cited by contractors as the most common violation, Sandra’s study revealed something else…

What statistics are telling us about OFCCP’s activity?

OFCCP Compliance Evaluation Trends 2008 to FY 2012 YTD in Table 1 shows that OFCCP closed 1,982 compliance evaluations in FY 2012 YTD, 1,297 or 65.4% closed with a Notice of Compliance, down from 72.3%, for the entire FY 2011, and significantly lower than in FY 2008 when 85.6% of the compliance evaluations closed with a Notice of Compliance.

Table 1 OFCCP Compliance Evaluation Outcome Trends FY 2008 to FY 2012 YTD

FY

Total Compliance Evaluations Closed

Notice of Compliance

Conciliation Agreement (CA)

Consent Decree

(CD)

Financial Agreement (FA)

Total CAs, CDs, FAs

#

#

%

#

%

#

%

#

%

#

%

2008

4325

3701

85.6%

539

12.5%

5

0.1%

80

1.8%

624

14%

2009

3907

3204

82%

618

15.8%

9

0.2%

76

1.9%

703

18%

2010

4942

4019

81.3%

839

17%

3

0.1%

81

1.6%

923

19%

2011

4007

2898

72.3%

999

24.9%

9

0.2%

101

2.5%

1109

28%

2012 YTD

1982

1297

65.4%

613

30.9%

1

0.1%

71

3.6%

685

35%


The study indicates that both Long Term (FY 2012 YTD, as compared to FY 2008), and Short Term (FY 2012 YTD, as compared to FY 2011) Trends show there has been an increase in the percentage of compliance evaluations that closed with Conciliation Agreements, Consent Decrees or Financial Agreements from 14% in FY 2008 to 35% YTD FY 2012 YTD.

The Top 10 Violations cited by OFCCP in FY 2012 YTD

While the public poll respondents felt that Recordkeeping would be the top violation to date, it came in second to Recruitment - which is currently the top violation cited by OFCCP.

Tables 2 and 3, reflect OFCCP Violation Trends – the type of violation, the number and percentage of closing documents that included the specified violation.

Table 2 OFCCP Violation Trends – Top 5 Violations for FY 2012 YTD

Violation Ranking for YTD 2012

# 1

#2

#3

#4

#5

FY

Total CAs, CDs, FAs

#

Recruitment

Record-

keeping or Support Data

Past Performance

Written AAP

Denial of Access

#

%

#

%

#

%

#

%

#

%

2008

624

178

28.5%

411

65.9%

292

46.8%

138

22.1%

39

6.3%

2009

703

264

37.6%

347

49.4%

302

43.0%

128

18.2%

81

11.5%

2010

923

503

54.5%

436

47.2%

284

30.8%

172

18.6%

180

19.5%

2011

1109

664

59.9%

471

42.5%

351

31.%

271

24.4%

204

18.4%

2012 YTD

685


378


55.2%

309

45.1%

254

37.1%

171

25.0%

119

17.4%


  1. Recruitment is the number 1 violation cited by OFCCP for FY 2012 YTD, FY 2011, and FY 2010. In FY 2009 and 2008, Recruitment was ranked as number 3. OFCCP will cite a contractor when OFCCP finds that the contractor failed to demonstrate sufficient outreach efforts to recruit females, minorities, particular minority groups, veterans and persons with disabilities.
     
  2. Recordkeeping or Support Data is the number 2 violation cited by OFCCP for FY 2012 YTD, FY 2011, and FY 2010. In FY 2009 and 2008, Recordkeeping or Support Data was the number 1 violation cited. OFCCP will cite a contractor when OFCCP finds that the contractor failed to maintain records and support data pursuant to Recordkeeping obligations at 41 Code of Federal Regulation (CFR) §60-1.12, §60-3.4, §60-250.80, §60-300.80, or §741.80.
     
  3. Past Performance is the number 3 violation cited by OFCCP for FY 2012 YTD, FY 2011, and FY  2010. In FY 2009 and 2008, Past Performance was the number 2 violation cited. OFCCP will cite a contractor when it finds a problem with the contractor’s past performance, e.g., OFCCP identified a problem with prior activities, such as good faith efforts, or inadequate efforts undertaken to correct problems identified, such as underutilization, underrepresentation, or prior compliance history where the contractor was previously cited and OFCCP finds there is a recurring violation, etc…
     
  4. Written Affirmative Action Programs (AAP) is the number 4 violation cited by OFCCP for FY 2012 YTD, 2011, 2010, 2009, and 2008. OFCCP will cite a contractor with a written AAP violation when it determines e.g., the AAP is non-existent, not current, elements of the AAP do not meet  the acceptable requirements, or the AAP was not implemented as discussed in the AAP.
     
  5. Denial of Access is the number 5 violation cited by OFCCP for FY 2012 YTD, FY 2011, and FY 2009 . In FY 2010, Denial of Access was the number 4 violation cited by OFCCP. In FY 2008, Denial of Access ranked number 7, in violations cited. OFCCP will cite a contractor with Denial of Access when the contractor denies OFCCP access to employment records, employees,  managers, or the employment site.

    Table 3 OFCCP Violation Trends – Top 6 to 10 Violations for FY 2012 YTD

    Violation Ranking for YTD 2012

    # 6

    #7

    #8

    #9

    #10

    FY

    Total CAs, CDs, FAs

    #

    Hiring
    Discrimination

    Systemic Discrimination Salary Discrimination Accommodation Selection or Testing



    #



    %

    #

    %

    #

    %

    #

    %

    #

    %

    2008

    624

    80

    12.8%

    65

    10.4%

    7

    1.1%

    3

    0.5%

    9 

    1.3%

    2009

    703

    79

    11.2%

    68 

    9.7%

    6

    0.9%

    2 

    0.3%

    11 

    1.6%

    2010

    923

    66 

    7.2%

    56 

    6.1%

    18

    2.0%

    9 

    1.0%

    6 

    0.7%

    2011

    1109

    83 

    7.5%

    52 

    4.7%

    30

    2.7.%

    36 

    3.2%

    12 

    1.1%

    2012 YTD

    685


    48


    7.0%

    31

    4.5%

    25

    3.6%

    21 

    3.1%

    6 

    0.9%


    While discrimination violations currently rank 6 through 10, as stressed during the webinars, as part of the “active case enforcement strategy,” OFCCP is consistent in conducting a full Desk Audit in every compliance evaluation, and will conduct an on-site compliance evaluation on every 25th compliance evaluation, regardless of statistical indicators. In addition, OFCCP will seek remedy in all cases of discrimination with no minimum number of class members, and are seeking relief for any one or more groups adversely affected by an employer’s personnel practices. OFCCP will cite a contractor with a discrimination finding when the contractor is unable to refute OFCCP’s allegations.
     
  6. Hiring discrimination violations are at an all-time low from 12.8% in FY 2008 to 7.0% in FY 2012 YTD.
     
  7. Systemic Discrimination violations are also at an all-time low, from 10.4% in FY 2008 to 4.5% in FY 2012 YTD.
     
  8. Salary Discrimination violations are at an all-time high, from 1.1% in FY 2008 to 3.6% in FY 2012 YTD.
     
  9. Accommodation Discrimination is also on the rise, from 0.5% in FY 2008 to 3.1% in FY 2012 YTD.
     
  10. Selection or Testing Discrimination is down, from 1.3% in FY 2008 to 0.9% in FY 2012 YTD.
Summary Findings

Manchester Consultants’ study shows that there is an increase in the number of compliance evaluations closing with Conciliation Agreements and Financial Agreements, and a decline in the numbers of Notices of Compliance from FY 2008 through FY 2012 YTD.

Of the top 10 violations cited by OFCCP, the following violations have continued to increase as seen in the percentage of CAs, FAs, or CDs:
  • Recruitment, from 28.5% in FY 2008 to 59.9% in FY 2011, and 55.2% in FY 2012 YTD.
  • Denial of Access, from 6.3% in FY 2008 to 18.4% in FY 2011, and 17.4% in FY 2012 YTD.
  • Salary Discrimination, from 1.1% in FY 2008 to 2.7% in FY 2011, and 3.6% in FY 2012 YTD.
  • Accommodations, from 0.5% in FY 2008 to 3.2% in FY 2011, and 3.1% in FY 2012 YTD.
These findings confirm the impact of OFCCP’s shift in focus from Active Case Management Protocol to Active Case Enforcement Protocol on the contractor community.
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