OFCCP to lay off 90% of its workforce

Did you hear that? It was the other shoe dropping. 

Approximately one month after President Trump rescinded Executive Order 11246, the Office of Federal Contract Compliance Programs is preparing to reduce its staff by 90 percent, according to multiple news sources.

News sources describe a memorandum from the OFCCP’s acting director, Michael Schloss, to the Acting Secretary of Labor, that outlines the OFCCP’s strategy to reduce staff, while maintaining a limited field presence to review contractors for compliance with Section 503 of the Rehabilitation Act and the Vietnam Era Veterans’ Readjustment Assistance Act. 

The changes involve reductions

  • From 55 offices to four offices.
  • From 479 employees to 50 employees.

The OFCCP’s policy division would be reduced to five employees who will suggest changes to agency regulations “designed to reflect the removal of EO 11246" and shift focus to Section 503 and VEVRAA.

The OFCCP is also planning to eliminate its division of enforcement, which includes labor economists and statisticians who conducted statistical analyses required by Executive Order 11246. The OFCCP states that those “skillsets [sic] are no longer needed” for Section 503 and VEVRAA enforcement.

We will keep you informed as further developments unfold. 

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Our Affirmative Action Alert blog focuses on the latest news and topics affecting federal contractors and subcontractors and their compliance with affirmative action and other employment-related laws and regulations.  With breaking news, quick updates, and headlines on the Office of Federal Contract Compliance Programs and affirmative action issues, this blog is a great resource for in-house counsel, HR managers, and other compliance professionals.  Our blog is a companion to Constangy’s Affirmative Action newsletters, which address significant legislative, regulatory, and administrative proposals and changes.  Subscribe to both to stay current on these important topics!

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