Challenge to New Disability Regulations Fails on Cusp of Effective Date
As previously reported, a number of federal contractor associations have raised questions and concerns regarding the new veteran and disabled regulations. In November 2013, Associated Builders and Contractors, Inc. (“ABC”) challenged the validity of the disability regulations in federal court and today the United States District Court for the District of Columbia upheld the regulations, just 3 days before many of new requirements become effective.
The court upheld OFCCP’s “broad” authority to issue the disability rules, as well as their reasonableness under Section 503 of the Rehabilitation Act, including the reasonableness of the basis for the 7% disability utilization goal. The court also found that collecting disability information does not violate the ADA.
While ABC may still appeal this district court ruling, the court denied ABC’s request to delay implementation the new regulations. As a result, the regulations will “go live” on Monday March, 24 as planned.