OFCCP Systemic Compensation Standards and Guidance Closer to Release

(UPDATE - JUNE 16, 2006: Final Compensation Guidelines Have Been Released - Click Here For Details)

OFCCP's long-awaited standards for evaluating systemic compensation discrimination and the guidelines for federal contractors to self-evaluate their compensation systems just took a step closer to being finalized. The Office of Management & Budget (OMB) is now reviewing the proposed compensation standards and guidance, which they received from OFCCP on February 10, 2006, according to an OMB notice.

OFCCP's standards and contractor guidance were originally proposed in November 2004 to replace informal approaches used by the OFCCP in the past, specifically the controversial pay grade theory. DCI believes the final compensation standards and guidance will have a significant impact on contractors, especially in how they analyze their pay systems in preparation for compliance evaluations.

Look for a special DCI Client Alert as soon as the final standards and guidelines are released. You will also be able to register for a complimentary DCI client teleconference briefing on the implications of the new standards and guidelines and how your company can minimize its liability for systemic compensation discrimination.

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