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Affirmative Action Plans

"News Flash" SHRM website – July 30, 2009

As part of the Obama administration’s commitment to accountability in spending under the American Recovery and Reinvestment Act (ARRA), the federal Office of Federal Contract Compliance Programs (OFCCP) will be tracking its ARRA-related and non-ARRA-related enforcement activities separately and aggressively auditing recipients of ARRA funds.

On July 7, 2009, OFCCP released a new directive that explains the different procedures that will apply in scheduling and conducting compliance evaluations for ARRA-funded contractors versus other federal contractors. OFCCP released a new directive that explains the different procedures that will apply in scheduling and conducting compliance evaluations for ARRA-funded contractors versus other federal contractors.




Are you a federal contractor or has your company received federal stimulus dollars? If so, you must comply with the federal office of Federal Contract Compliance Programs, (OFCCP) a division of the Department of Labor.

Do you need a written Affirmative Action Plan? Are your hiring, promoting, and termination procedures compliant with the Plan? Do your contracts and purchase orders for your Company and your Sub-contractors meet the guidelines required by OFCCP?

Did you know federal contractors must begin utilizing the E-verify system as of September 8, 2009?

Under the leadership of the new OFCCP Director, Patricia Shiu and according to senior officials at the OFCCP, the agency will be scrutinizing recipients of federal stimulus funds under the American Recovery and Reinvestment Act (ARRA) for compliance with federal affirmative action requirements.

A significant portion of these recipients likely will be involved in the construction industry and, thus, will be subject to the regulations pertaining to Construction Contractors.

The OFCCP has stated that it expects to conduct 450 construction audits by close of the next fiscal year in September 2010. The agency has indicated that it will routinely schedule desk audits and onsite reviews of supply and service contractors that receive ARRA funds, even when "indicators" of discrimination are not identified.

To avoid excessive fines or the possibility of loosing your government contract, let us guide you through this complicated process.