Federal Spotlight: EEOC Reporting Rule to Take Effect

After the Office of Management and Budget (OMB) put a hold on the changes to the EEO-1 reporting form that mid- and large-size employers must fill out in 2017, a judge ruled last month the added requirement to report pay can move forward and is due September 30, 2019.

The ruling provides employers approximately six months to comply and will be extremely costly for employers. ABI’s federal partner, the National Association of Manufacturers (NAM) submitted an amicus brief against what it described as a “rule would require employers to provide data that the government isn’t even capable of processing yet–at a cost of more than a billion dollars to businesses.” NAM also stated in a blog post that the due date of September 30 does not allow enough time to accurately obtain the requested data.

Of interest as to the complexity of the new rule, this was specifically stated in the brief: “The EEO-1 Report requires 180 data points. The Revised EEO-1 Report, by contrast, would require employers to submit 3,660 data points for each employer location.” Moreover, “EEOC’s Revised EEO-1 Report exceeds $400 million in pure labor costs alone, and carries a total burden of $1.3 billion per year for all businesses employing 100 or more employees.”

In another blog post, NAM cited a Bloomberg Law article that provides deadline details essential to businesses. If you have questions about the court ruling, or if your business is affected by the new rule, please contact Drew Wynes.