What You Need to Know About the OFCCP

By hrlineup | 27.01.2021

Every organization looks forward to working with the federal government. If not for the considerable compensation, but the reputation they will gain. They say, “nothing good comes easy.” This applies to organizations trying to win that contract with the government.

Organizations that are already contracted by the federal government must understand that there are strict guidelines that they must adhere to. Organizations must be up to date with OFCCP (Office of Federal Contract Compliance Program) regulations. You must also know what they do and the impact they bring to your business. Before we get into that, let’s first familiarize ourselves with the OFCCP program.

What does OFCCP compliance mean

If the federal government contracts you more than $10,000, you need to be keen on the OFCCP regulations. Its mission is to protect the workers you hire for this contract against discrimination. OFCCP ensures that you hire diversely including, minorities and veterans. Discrimination is something that we fight against every day, and I know you probably are against workers’ discrimination. As this may look easy to follow, there are some OFCCP reporting requirements that an organization must meet.

  1. Come up with an affirmative written action program
  2. Ensure you keep the records for employment effectively
  3. Conduct an internal audit and keep the records for auditing
  4. File an annual EEO-1 report

OFCCP usually conducts audits in organizations to confirm hr compliance. It is, however, important to always be ready for such audits to avoid legal actions. In case the OFCCP finds that you are going against the law, huge penalties may be imposed, including termination of your federal contract. They may also ban your organization from contracting with the federal government. The organization will also compensate the victims of discrimination.

During auditing, the OFCCP will require all the records on the employees. How they were hired and if there was a referral. In case you sent an invite for application to the employees, such records must also be kept. The OFCCP officers will confirm your report by interviewing your employees and the hr managers. To ensure safety with the audits, you must ensure that you keep employment records and all performed procedures for persons with disabilities. For example, training programs, reasonable accommodation, leave policy, to name a few. Filing the EEO-1 report on a timely basis is also essential and keep your employees informed on the ADA (Americans with Disabilities Act)

Some organizations may not have the capability of hiring a specialist to fill in the EEO-1 report. These organizations can visit the OFCCP website and find the OFCCP compliance manual. This manual will guide you on hr compliance requirements. Do no agonize if your business is small and you feel like it will take you a lifetime to land a federal contract. The good news is, a quarter of contractors working with the federal government are small businesses.

Do not let your light dim. If you want to learn more about becoming a federal employer, you can use the General Services Administration’s guide. With this guide, small organizations will also learn how to bid for a federal contract successfully.

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