OFCCP Identifies Contractors Selected for FY2022 Compliance Audits
On May 20, 2022, the Office of Federal Contract Compliance Programs (OFCCP) released its Corporate Scheduling Announcement List (CSAL), which identifies 400 federal supply and service contractor and subcontractor establishments that will be audited by the agency in fiscal year 2022. The CSAL does not commence OFCCP’s compliance evaluation, but does notify the identified contractors that they will soon receive a scheduling letter requiring the production of affirmative action plan (AAP) documents and data.
The timing under which scheduling letters will issue may change as the Biden OFFCP moves away from certain Trump administration practices. Under the Trump OFCCP, the agency built in a 45-day delay between the publication of the CSAL and the mailing of scheduling letters, to allow contractors to prepare for the compliance evaluation. In a recent directive, OFCCP eliminated that delay period. In addition, the Trump OFCCP allowed contractors to produce the written portion of their AAP in response to the scheduling letter while obtaining a 30-day extension of time to produce the voluminous personnel transaction data that the scheduling letter requests. OFCCP also eliminated that extension in most cases. These changes mean that contractors may face a dramatically reduced period of time in which to compile their AAP materials, review them, and make any necessary corrections prior to submission to the agency.
Also of note is that OFCCP identified only 400 supply and service contractor establishments in the FY2022 CSAL. For FY2021, the CSAL scheduled 750 supply and service contractor establishments for audits. Consistent with OFCCP’s renewed focus on enforcement, the smaller number of contractors selected for audit may indicate that the agency intends to take a deeper dive in each audit into reviewing the contractor’s compliance.
In light of the changes to the audit process, contractors who find themselves listed on the CSAL should consult with counsel regarding their response to the agency in order to ensure that their AAPs are fully compliant with OFCCP regulations and their personnel data does not show potential gender or race-based disparities in hiring, termination, promotions, or compensation. There is much to be gained for contractors in identifying and addressing these issues before submitting documents or data to OFCCP.