The Department of Labor began moves to shut down the Office of Federal Contract Compliance Programs (OFCCP) last week, which could limit the government’s ability to monitor contractors for potential violations of anti-discrimination laws.
The OFCCP, a little-known government office that was created in 1965 to proactively monitor federal government contractors for any signs of discrimination, accounts for millions of workers (or 0.6% of the population) and is the latest office to be impacted by changes at the DOL. Catherine Eschbach, the new head of the OFCCP, a lawyer who previously represented SpaceX, put the majority of workers at the office on leave, including all employees in the office’s enforcement division, Bloomberg Law reported.
While the OFCCP was originally tasked with unearthing systemic discrimination across the board, the agency’s new mission is reportedly changing. Instead, it will focus on enforcing Section 503 of the Rehabilitation Act, which prohibits federal contractors from discriminating against disabled people in the workplace, and the Vietnam Era Veterans’ Readjustment Assistance Act, which requires contractors to take “affirmative action” steps to hire Vietnam veterans, according to Bloomberg Law.
The changes are the latest steps to dismantle Executive Order 11246 from President Lyndon B. Johnson, which President Trump rescinded in January as part of his anti-DEI measures, HR Brew previously reported.
Quick-to-read HR news & insights
From recruiting and retention to company culture and the latest in HR tech, HR Brew delivers up-to-date industry news and tips to help HR pros stay nimble in today’s fast-changing business environment.
The OFCCP is empowered “to do what the EEOC does not do,” Jocelyn Frye, president of the National Partnership for Women and Families, a nonpartisan nonprofit, told HR Brew, noting that the EEOC usually only pursues action after a complaint is filed. “Its mission was to be more proactive in making sure that there was compliance with anti-discrimination protection. So OFCCP and EEOC were very complementary. They often worked collaboratively.”
Frye said that watchdogs like the OFCCP are necessary because while discrimination is illegal “on paper,” it often still occurs, and the EEOC doesn’t have the resources or legal abilities to carry on the duties of the OFCCP. Eliminating or reducing the office to a fraction of its original size will result in the loss of institutional knowledge, and impact the DOL’s ability to identify discrimination at federal contractors, Frye said.
“There’s something to be said for the people who have the expertise actually to do the work, and you’re effectively getting rid of all of that expertise and hoping that other people can pick it up,” Frye said. “The potential impact is enormous. It basically sends a message to federal contractors that there's nobody in charge and nobody paying attention to whether or not you're adhering to your anti discrimination applications.”