In 2011, the OFCCP proposed major changes to the current scheduling letter and itemized listing. After three years, the OFCCP has received approval from OMB to make some of the changes that were requested. These changes (especially the change to Item 11) will have major implications for contractors. As of today, we don’t know when the new scheduling letter will become effective but based upon our read it will most likely be immediate. Some of the highlights of the changes include:
- Scheduling letter will continue to allow contractors to submit personnel activity by either job group or job title. OMB rejected the request to require contractors to submit the data by job group and job title.
- Personnel activity data will be submitted by the five specific race/ethnicity categories versus total minority. (We think only five due to the fact that OFCCP never incorporated into regulations the addition of Native Hawaiian or Two or More Races.)
- THIS IS A HUGE ONE: Item 11, which in its current form requires contractors to submit compensation data in the aggregate, will now require contractors to submit individualized employee compensation data as of the date of the workforce analysis in the Affirmative Action Program, also noting the job title, job group and EEO-1 category. In addition, OFCCP changed the definition of compensation to include consideration of hours worked, incentive pay, merit increases, locality pay, and overtime.
- Contrary to what OFCCP said in one of its recent FAQs, the scheduling letter will be changed to include the new requirements under VEVRAA and 503.
Stay tuned for more information as it becomes available.
By: Dave Cohen, President, DCI Consulting Group