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OFCCP Audit TrendsSherry Rest, PHR, SHRM-CP
Director, Client Services
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OFCCP Enforcement
Trends
OFCCPAudit Survival
OFCCPLeadership &
Strategies
2016 To Be Covered
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OFCCP Leadership and Strategies
People and Politics
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2,602 Compliance ReviewsFiscal Year 2015
2,143Notice of Compliance
432Conciliation Agreements
35Financial Agreements
1Consent Decree
82% 16%
1% <1%
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FY 2015
Violation # of Violations % of Total Audits
Recordkeeping 235 9%
Recruitment 229 9%
Written AAP 130 5%
Hiring 37 1%
Selection or Testing 8 <1%
Accommodations 4 2%
Terminations 2 <1%
Promotions 2 <1%
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2015 OFCCP Settlements"There are no such things as 'women's work' and 'men's work.' There is only work…and federal contractors are well aware of their obligation to provide equal opportunities to all employees and job applicants."
"Preventing workplace discrimination requires proactive steps. When contractors accept federal funds, they agree to take those steps to ensure that taxpayer money is never used to discriminate in hiring or employment.“ - Patricia Shui, OFCCP Director
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2,602 Compliance ReviewsFiscal Year 2016 – as of 9/15/2016
1,211Notice of Compliance
280Conciliation Agreements
26Financial Agreements
2Consent Decrees
80% 18%
2% <1%
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FY 2016 as of 9/15/16
Violation # of Violations % of Total Audits
Recordkeeping 149 10%
Recruitment 133 9%
Written AAP 93 6%
Hiring 26 2%
Selection or Testing 5 <1%
Accommodations 1 <1%
Terminations 3 <1%
Promotions 3 <1%
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ONLINE FOR ALL TO SEE!!
OFCCP Enforcement Statistics• ogesdw.dol.gov/views/search
Freedom of Information Act Reading Room• dol.gov/ofccp/foia/foiareadingroom
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Gordon Food Service, $1.85m
• Gordon Food Service will pay $1.85 million to female applicants, hire 37 female applicants and stop using a strength test found to be discriminatory.
• “Too often we find ‘tests’ like the one used in this case that exclude workers from jobs that they can in fact perform,” said Patricia A. Shiu
• “In this case, women were denied good-paying jobs. We are making sure that these women are compensated and that some are able to get the work they sought when positions become available.”
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Hewlett-Packard $750K
• Hewlett-Packard will pay $750K in back wages & interest to 504 qualified applicants including 349 African Americans, 1 American Indian/Alaskan Native, 109 Asians, 44 Hispanics and 1 Native Hawaiian/Pacific Islander rejected for Inside Sales Representative positions who were not hired based on race and national origin.
• “This settlement reflects a mutual commitment…..to ensure all workers have a fair shot at competing for good jobs,” said Patricia A. Shiu
• HP will also place 33 of the applicants into those positions with retroactive seniority.
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Jennie-O Turkey, $492k
• Jennie-O will pay $492,000 in back wages to 339 female applicants after found to be discriminating in their entry level hiring practices from February 2009 to February 2010.
• “Discrimination can be prevented when employers have non-discriminatory selection procedures in place and make certain that they are followed,” said OFCCP Director Patricia A. Shiu.
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Insider Information from NILG• Former Compliance Officers Lisa Kaiser and Katherine
Haight• Lots of training• Grab easy cases• Dig until you find something• Miscommunication between contractors and OFCCP• A QUOTA ?!?• Final take away
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Government Accountability OfficeReport
Equal Employment Opportunity:Strengthening Oversight Could Improve Federal Contractor Nondiscrimination Compliance
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Government Accountability OfficeReport
• Findings• Audit methods may not focus where investigation needed
• OFCCP does not use “generalizable sample”• Contractor outreach and assistance activities declined
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Government Accountability OfficeReport
• Recommendations• 1. Change scheduling process• 2. Monitor AAPs on regular basis• 3. Make changes to scheduling appropriate for human capital• 4. Provide timely and uniform training to new staff• 5. Improve outreach and assistance to contractors• 6. Assess contractor guidance for clarity
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What We Are Seeing
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What We Are Seeing…
• Still extreme variance in length• Intermittent communication• Requests for quick turn around• In-depth questions regarding policies, accommodations and
implementation of new regulations• Data aggregation• Deep dives into adverse impact• Deeper dives into compensation
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Your Support at HudsonMann
ACCOUNT MANAGER
HRIS and IT SUPPORT
DATA TEAM ONLINE TRAINING
AAP SEMINAR
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Review currentrecruiting practices
Follow formalapplication process
How Do You MinimizePotential Liability?
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No “informal”expressions of interest
Use activeconsideration period
Set and useminimum
qualifications
Review PayPractices
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Review testingvalidation
Document!Document!Document!
Statepostings
Conduct anInternal audit
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Retainsupportingdocuments
Document!Document!Document!