In 2008 the Office of Federal Contract and Compliance recovered a record $67 million dollars from Affirmative Action contractors who had allegedly discriminated against employees and applicants based upon minority or gender status.  This is a 133% increase over what was recovered in 2001 and was up from $51 million in 2007.  Nearly 25,000 individuals shared in the back pay and other damages collected.  The damages, bad publicity, and increased federal activity in this area should prompt those contractors and subcontractors required to develop Affirmative Action plans to do so.

Are You Required to Develop an Affirmative Action Plan?

Under Executive Order 11246 each non-construction federal contractor/subcontractor with 50 or more employees is required to develop a written Affirmative Action Program (AAP) and have it available for review in event of a government audit if it:

• Has a Federal contract or subcontract of $50,000 or more;
• Has government bills of lading which in any 12-month period total, or can reasonably be expected to total, $50,000 or more;
• Serves as a depository of Federal funds; or
• Is a financial institution that issues and paysU.S. savings bonds and savings notes.

More information is available from the Department of Labor website at:  http://www.dol.gov/esa/ofccp/.

HRN consultants help clients develop and maintain AAPs.  If you would like further information or a no obligation quote, call us at 801-747-1170.