OFCCP Stepping Up Investigations and Audits
On Wednesday, August 4, 2010 Patricia Shiu, Director of the Office of Federal Contract Compliance Programs (OFCCP) delivered a keynote speech to the National Industry Liaison Group in Las Vegas, Nevada. Director Shiu’s comments spanned a range of equal employment topics. Issues of particular interest to employers are: equal pay, enforcement, and a partnership between the OFCCP and the Equal Employment Opportunity Commission (EEOC).
Director Shiu discussed the hardships faced by women and minorities who do not receive the same pay for the same job as their male or non-minority comparators. She vowed “[t]he OFCCP is working on pay equity issues.” She went on to discuss a partnership between the EEOC and the OFCCP focused on equal pay “[t]he EEOC and the OFCCP have embarked on a new path of partnership . . . [o]ur work together on implementing the White House Pay Equity Initiative affords our respective agencies the unique opportunity to work in concert . . . ”
Director Shiu also highlighted the OFCCP’s focus on enforcement. “With respect to enforcement, the OFCCP is working to transform its enforcement procedures to be more effective, more efficient, and more pro-active. The OFCCP staff across the country is stepping up their investigations and audits, ensuring accuracy, thoroughness, and quality outcomes. Excellence is the standard.”
What does this mean to employers?
Over the past year, we have seen an increased focus from government agencies on enforcement and investigation. Director Shiu’s comments further reinforce the government’s intent. The equal rights agenda is laudable; however, there are potential ramifications for employers. EEO Logic commented in our June blog post on the need for robust policies and procedures and regular self-critical analysis to protect against potential claims of systemic discrimination. Director Shiu’s speech and her focus on equal pay, enforcement, and intra-agency partnerships highlight the need for robust systems. What appear to be simple business decisions, when statistically analyzed, or considered as a group of unrelated decisions, may lead to an inference of discrimination.
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