Bloomberg Law for HR Professionals is a complete, one-stop resource, continuously updated, providing HR professionals with fast answers to a wide range of domestic and international human resources...
The Labor Department’s federal contractor watchdog will continue to focus on systemic pay discrimination and establish skilled regional centers while it prepares itself for a possible merger with the EEOC, the DOL said in fiscal year 2018 budget documents.
President Donald Trump proposed in a budget blueprint released May 23 folding the DOL’s Office of Federal Contract Compliance Programs into the Equal Employment Opportunity Commission. If approved by Congress, the merger is expected to occur by September 2018. Employer stakeholders and civil rights groups oppose a merger.
For what would be the OFCCP’s transition process in fiscal 2018, the president proposed an $88 million budget for the agency. That’s a cut of about $17 million, or 16 percent, from its current funding level.
The budget “reflects some transformations” that would occur at the OFCCP in anticipation of its transfer to the commission, DOL officials said during a May 23 press briefing. “Rightsizing would need to happen,” they said.
“Rightsizing” apparently means layoffs. The president’s budget proposal calls for a workforce reduction of about 131 full-time equivalent employees, which would shrink the contract compliance office’s workforce to 440 employees.
A DOL spokesman declined to provide further comment outside of the briefing.
Former OFCCP officials previously predicted that the OFCCP would face layoffs and district office closures with a funding cut. They also speculated that the agency could return to a shorter, tiered-audit process used during the Clinton and Bush administrations, as opposed to the deep-dive approach of the Obama administration.
But the agency in its recent budget justification said it would “continue to put a premium on high quality compliance evaluations.”
The OFCCP made uncovering and combating systemic pay discrimination a top enforcement priority under President Barack Obama.
The agency in fiscal 2018 is expected to “continue a steady course of identifying and remedying systemic discrimination and prioritizing those evaluations with evidence of systemic pay issues,” it said.
It also plans to provide “intensive compliance assistance” to contractors and subcontractors on large construction projects.
In its last budget justification under the Obama administration, the OFCCP discussed plans to establish two “skilled regional centers,” one in San Francisco and one in New York.
The centers would be staffed with specialized compliance officers who would handle complex audits of contractors in specific industries, such as financial services or information technology.
Trump’s budget proposal continues plans to establish these centers.
“Compliance evaluations conducted by highly skilled compliance officers greatly increase evaluation quality and timeliness as well as the more efficient use of limited resources,” the OFCCP said. “It also reduces the need for a network of field area and district offices.”
To contact the reporter on this story: Jay-Anne B. Casuga in Washington at firstname.lastname@example.org
The OFCCP's fiscal 2018 budget justification is available at http://src.bna.com/o8D.
Copyright © 2017 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)