We are pleased to present the next installment in our ongoing “OFCCP Compliance Primer” series of guides designed to help new compliance professionals understand the affirmative action program (AAP) requirements enforced by the Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP). Each guide in the series focuses on a discrete aspect of the AAP, from why and how we prepare them, to how each element should be constructed to help ensure compliance.
This latest guide discusses how to compare the demographics of the individuals within an AAP job group (incumbency) to the demographics of those individuals available for employment (availability) in order to determine whether a company must establish a so-called placement rate goal.
OFCCP regulations provide specifically that “[w]hen the percentage of minorities or women employed in a particular job group is less than would reasonably be expected given their availability percentage … the contractor must establish a placement rate goal.”
This guide discusses how to calculate final availability by “weighting” the internal and external factors, how to compare final availability to incumbency, and how to determine whether or not a placement rate goal is required.
Members of the Equal Employment Advisory Council (EEAC) can read more here.