United States: 2018 OFCCP Year In Review And What To Expect In 2019

Last Updated: January 21 2019
Article by Janet Q. Lewis

The year 2018 brought increased activity and significant changes to the Office of Federal Contract Compliance Programs (OFCCP), including the appointment of new Director Craig E. Leen and the arrival of 12 new directives.

Below is a brief summary of the directives and other significant initiatives.

Directive 2018-01
(February 27, 2018)
Use of Predetermination Notices
This directive provides a uniform protocol for the use of predetermination notices in individual and systemic discrimination cases.
Directive 2018-02
(May 8, 2018)
TRICARE Subcontractor Enforcement Activities
This directive extends the TRICARE moratorium on enforcement of affirmative action obligations required of TRICARE subcontractors until 2021.
Directive 2018-03
(August 10, 2018)
Executive Order 11246, § 204(c), Religious Exemption
This directive is designed to ensure faith-based organizations can compete for federal grants, contracts, programs, and federal funding opportunities without having to disavow their religious character.
Directive 2018-04
(August 10, 2018)
Focused Reviews of Contractor Compliance
This directive outlines OFCCP's plans to conduct focused reviews in fiscal year 2019 to evaluate a single protected group in a compliance review, starting with individuals with disabilities.
Directive 2018-05
(August 24, 2018)
Analyses of Contractor Compensation Practices During a Compliance Evaluation
This directive includes revamped guidance on compensation investigation and enforcement, and its accompanying frequently asked questions provide contractors with some insight into how OFCCP may evaluate their compensation data in an audit.
Directive 2018-06
(August 24, 2018)
Contractor Recognition Program
This directive outlines OFCCP's plan to offer recognition programs for contractors determined to have implemented best or model practices and assisted peers in improving compliance.
Directive 2018-07
(August 24, 2018)
Affirmative Action Program Verification Initiative
This directive aims to ensure contractors are annually preparing and implementing written affirmative action programs (AAPs) by requiring contractors to annually certify they have prepared AAPs and to develop information technology so OFCCP can collect and review AAPs. The directive allows OFCCP to include noncompliant contractors in the neutral audit scheduling process.
Directive 2018-08
(September 19, 2018)
Transparency in OFCCP Compliance Activities
This directive is aimed at increasing agency and audit transparency. OFCCP reserves the right to grant contractors extensions to submit support materials if they timely submit their AAPs. Failure to timely submit AAPs and support data in a desk audit will result in the issuance of a show cause notice.
Directive 2018-09
(September 19, 2018)
OFCCP Ombud Service
This directive creates a new Ombud Service to listen to contractors' concerns about OFCCP matters and areas for improvement, and to facilitate resolution of issues at the district and regional office levels.
Directive 2019-01
(November 30, 2018)
Compliance Review Procedures
This directive rescinds Directive 2011-01, which required full desk audits, and will help to "shorten full desk audits and conciliate violations more efficiently." Any contractor establishment audited by OFCCP will not be audited again for 24 months after closure of an audit or acceptance of a final progress report under a conciliation agreement.
Directive 2019-02
(November 30, 2018)
Early Resolution Procedures
The goal of this directive is to resolve supply and service contractors' audits "at the earliest stage possible" and to work with multi-establishment contractors to develop corporate-wide corrective actions to remedy non-discrimination violations, such as recordkeeping. If early resolution procedures are utilized, OFCCP will not schedule a new compliance evaluation for five years from the date of an Early Resolution Agreement with Corporate-Wide Corrective Action.
Directive 2019-03
(November 30, 2018)
Opinion Letters and Help Desk
This directive is designed to enhance the self-service feature of OFCCP's Help Desk to make prior responses to inquiries searchable. OFCCP also plans to resume the use of opinion letters to provide guidance to contractors.

In addition to the dozen directives summarized above, OFCCP conducted town hall meetings; issued a contractor "Bill of Rights" (What Contractors Can Expect); entered into a Memorandum of Understanding with the National Industry Liaison Group to help contractors comply with equal employment opportunity requirements; proposed changes to the current Functional AAP Directive 2013-01 (revised April 2016) (functional AAPs (FAAPs) are AAPs for a business function or unit, rather than an establishment) to simplify the process for requesting and maintaining FAAPs and to encourage more contractors to consider FAAPs; issued National Interest Exemptions to ease the requirements for contractors providing California wildfire, Hurricane Florence, Hurricane Michael, and Alaska earthquake relief; and sent out 750 corporate scheduling announcement letters to supply and service contractors, giving them a heads-up of potential audits in fiscal Year 2019.

As a result of the 2018 directives discussed above, as well as Director Leen's announced plans and initiatives, contractors can expect the following in 2019:

More Audits: Directives 2019-01/Compliance Review Procedure and 2019-02/Early Resolution Procedures should result in speedier audits and more efficient resolution of non-discrimination violations, which should result in more audits. However, do not expect the number to reach 3,500, as previously projected by Director Leen, given the fact that OFCCP staff is shrinking.

Increased Focus on the Disabled: Directive 2018-04/Focused Reviews outlines OFCCP's plans to begin focused reviews concerning contractor compliance with Section 503 requirements.

Continued Focus on Compensation: Directive 2018-05/Compensation Practices indicates compensation will continue to be the focus of regular desk audits.

Audits for Noncompliant Contractors: Directive 2018-07/AAP Verification indicates contractors that certify noncompliance will be targeted for audits.

Exemptions for Religious Organizations: As a follow-up to Directive 2018-03/Religious Exemption, OFCCP plans to release a notice of proposed rulemaking (NPRM) titled Implementing Legal Requirements Regarding the Equal Opportunity Clause's Religious-Organization Exemption, the purpose of which is to comply with current law protections for religious organizations so they may better compete for government work.

NPRM on TRICARE: OFCCP has promised another NPRM regarding TRICARE subcontractors and other healthcare providers' affirmative action obligations to revise 41 C.F.R. Part 60 in order to limit the obligations of TRICARE providers.

More Directives and Creative Initiatives: Contractors can expect a continued stream of new directives and more "out of the box" initiatives from Director Leen in 2019.

All in all, 2018 was a busy year for OFCCP, and contractors can expect more of the same in 2019.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Similar Articles
Relevancy Powered by MondaqAI
In association with
Related Topics
Similar Articles
Relevancy Powered by MondaqAI
Related Articles
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions