New Edition: Adverse Impact and Test Validation Book Makes Debut at National ILG Conference in New Orleans, LA

Gain valuable insight on updated EEO methodologies and compliance with Dan Biddle's Adverse Impact and Test Validation: A Practitioner's Guide, 3rd Ed.


Analyzing adverse impact and developing defensible testing programs are two important functions of an HR professional’s job. This book describes the practical steps that employers can take to safeguard their hiring systems against audits or litigation actions, and build robust testing systems that will have the highest likelihood of properly selecting qualified workers.

Co-authored by Richard E. Biddle, MBA, Stacy L. Bell, MS, Leonard S. Fedt, PhD, Jim Higgins, EdD, Gregory M. Hurtz, PhD, Daniel C. Kuang, PhD, James E. Kuthy, PhD, Scott Morris, PhD, and Patrick M. Nooren, PhD.

More about the book:
Adverse Impact and Test Validation: A Practitioner’s Guide, 3rd Edition
Author: Daniel A. Biddle, Ph.D.
ISBN: 0-7414-6606-6

Purchase the Adverse Impact and Test Validation book from the BCG Institute for Workforce Development (BCGi) website today.

VETS-100/100A Filing Deadline Extended Due to Technical Issues

Due to some technical problems, federal contractors will be unable to electronically file their VETS-100/100A forms until the Department goes online again on October 1, 2011. Accordingly, the Department has extended the filing deadline to November 30, 2011 and stated that they will not initiate action against contractors who would file from October 1, 2011 through November 30, 2011.

The inaccessibility of the website is also causing some problems for federal contractors who need to submit copies of their VETS-100 reports in relation to OFCCP’s compliance evaluation. If this is the case, contractors may request confirmation of the 2010 (or earlier) filing by contacting the VETS-100 Service Center at (866) 237-0275 or sending an e-mail to VETS100-customersupport@dol.gov.

Contractors need to be ready to provide the following information:

• Company Name


• Employer Identification Number (EIN)


• DUNS number
  

Alcoa Mill Products Inc. Settles Discrimination Case with US Department of Labor

Alcoa Mill Products entered into a conciliation agreement with the Office of Federal Contract Compliance Programs (OFCCP). The terms of the conciliation agreement included paying back wages to 37 Hispanics and African-Americans in the amount of $484,656.19 and to two women in the amount of $35,516.88. Job offers will also be extended to nine of these individuals as positions become available. Alcoa Mill also agreed to spend $20,000 on equal opportunity, anti-harassment and sensitivity training for its personnel who are involved in the hiring process.

During a compliance evaluation of Alcoa's Lancaster, PA location, the OFCCP found that Alcoa Mill failed to meet its obligations as a federal contractor in ensuring that equal opportunity in employment is extended to all applicants without regard to race, sex, religion, color, or national origin. Director Patricia Shiu said, "No worker should be denied a job because of factors that have absolutely nothing to do with his or her ability to accomplish the work. I am glad we reached a fair settlement with Alcoa Mill Products, one that not only provides financial remedies for the affected victims, but also creates opportunities for good jobs."

Valuable Session From National ILG Provides Unique Insight

On July 27, 2011 John Fox delivered a rousing session with updates on current events in Affirmative Action in addition to providing a surprise guest speaker.

In addition to an OFCCP update discussed below, John pulled Sandy Zeigler and Shirley Thomas from the audience to loud applause. Shirley was the long time Director of the OFCCP and Shirley Thomas was her longtime Deputy in the Chicago region who were the subject of a lot of speculation following their sudden departure from the agency. John Fox asked Sandy to clarify what actually happened and if she wanted to dispel any false rumors. According to Ms. Zeigler, she and Shirley Thomas had elected to step down from their posts several months prior to the announcement and suggestions that their departure from the OFCCP was unplanned or forced are untrue. Additionally, Ms. Zeigler clarified that the desk audit letters mailed in June out of the Chicago region that were rescinded were pulled because they were not supposed to be mailed all at once. Ms. Zeigler and John Fox clarified that the same letters should be expected to be re-sent to the same contractors in a staggered format. Ms. Zeigler is known for her vast knowledge of the industry as well as the only known musical session at a National ILG conference.

Mr. Fox also provided a fast paced discussion about what is happening in the Affirmative Action industry. He made a point early in his discussion to make sure that his opinion of the current OFCCP Director, Patricia Shiu, is that she is the most important Director of the OFCCP since the Nixon administration. Mr. Fox went on to say that the many changes that have been under discussion for the last 12 months are going to happen.

Additional talking points:
1. Eight (8) percent of audits have identified issues
2. On June 4, 2011 a "Secret" OFCCP Directive was circulated amongst the agency that identified an updated compensation analysis threshold for compliance officers to use as a trigger to request detailed compensation data from contractors. The new threshold is a difference of 2% or $2,000 between comparative data provided by the contractor.
3. OFCCP is looking at comparisons of individuals within a job, also known as a cohort comparison. According to Mr. Fox, in all the audits he has participated in, he has yet to see a single result where OFCCP could prove discrimination.

Mr. Fox also identified the "OFCCP To Do List" in his blog. See excerpt and link below.

http://www.foxwangmorgan.com/blog/

Some expected dates for release of various notices from the OFCCP (estimated):
1. New compensation collection tool - July/August
2. Advance Notice for Proposed Rulemaking for Section 503 of the Rehabilitation Act - August
3. Finalize changes to the Itemized Listing (audit letter) - by September 30
4. Advance Notice for Proposed Rulemaking for Construction regulations - November
5. Updates to the Federal Contract Compliance Manual - Fall 2011
6. Updates to the Sex Discrimination laws - February 2012
7. Final Rule on Section 4212 (Veterans) regulations - Spring 2012

OFCCP Director Pat Shiu Delivers Keynote Speech at 2011 NILG

Wednesday, July 27, 2011.

Following a spectacular musical opening to the 2011 National ILG, Director Patricia Shiu delivered her annual keynote address covering recent accomplishments, current events and future plans.

Ms. Shiu reminded the audience that the White House directive to eliminate the gender pay gap is still very much in effect. Also, that the OFCCP is still pushing hard to update many areas of the regulations including Section 503 of the Rehabilitation Act, The Compensation Guidelines, Section 4212 (Vets regs), the Compliance Manual, The Itemized Listing (desk audit letter), and the Construction regulations.

Women are making 81 cents for every dollar that men make and Ms. Shiu stated that the difference can account for hundreds of thousands of dollars across a person's career. The OFCCP expects to roll out a new compensation collection tool in the next few months.

One key quote that stood out regarding the value of compliance efforts was how organizations can benefit from effort put into AAPs/Diversity. "Employers who embrace diversity see a better bottom line."

Additional footnotes:

• The Federal Contract Compliance Manual is very close to completion


• New compensation analysis guidelines are coming


• The key to audits is quality not quantity


• The DOL, DOJ and EEOC are sharing information and referring cases


• President Obama wants a unified Civil Rights Agenda


• Compliance is no longer defined by Good Faith Efforts alone, accountability must exist


• Clarity is an important part of enforcement and many regulations must be updated

In her closing remarks, she said, "We need a new ethic of responsibility. We need a new ethic of opportunity."

More notes from the National ILG conference in New Orleans to come.

Dr. Nooren to Speak at the SHRM 2011 Diversity and Inclusion Conference

Dr. Patrick Nooren, Ph.D., Biddle Consulting Group Executive Vice President, will be speaking at the SHRM 2011 Diversity and Inclusion Conference.

Here are the details:

Conference Name: SHRM 2011 Diversity and Inclusion Conference

Dates: October 24-26, 2011

Location: Washington, DC

Title: What You Can Learn From an Ostrich . . . Compensation Analyses and the OFCCP

Description: In the not so distant past, the Office of Federal Contract Compliance Programs (OFCCP) tried, largely unsuccessfully, to investigate compensation discrimination. Today, with over $30,000,000 in additional funding and 200+ new employees, failure is no longer an option. Employers need to realize that investigating compensation disparities is now a primary mandate within the Agency and the days of submitting compensation data with no recourse are over.

This presentation is for practitioners of all levels. Attendees will leave with tools and strategies for preparing their organizations for the eventual compensation review.

Workplace Application: Attendees will leave with an understanding of what their organizations need to do to be proactive with respect to OFCCP compensation investigations.

Recertification /Learning Objectives:

1. Methods for investigating compensation disparities (Title VII/EPA)
2. Understanding OFCCP compensation enforcement
3. Strategies for reducing legal exposure

EO Clause and Annual Vendor Notification

by Fe Ramos
Sr. Consultant
Biddle Consulting Group

EO Clause and Annual Vendor Notification

With the OFCCP’s heightened audit activities, one of the issues that compliance officers (CO) typically find is the failure of employers to send out yearly notification to their vendors, subcontractors, and/or suppliers regarding their company policy. Employers typically mistake the inclusion of the EO Clause in their contracts and subcontracts as something that also addresses the obligation to send out an annual notification. Federal contractors need to do BOTH.

1) Include the EO Clause either by reference or its entirety in all contracts and subcontracts (41 CFR 60-1.4; 41 CFR 60-250.5; 41 CFR 60-300.5). Although not specially stated in the regulations, compliance officers also check to see if the EO Clause is included in the purchase orders, invoices, and other documents issued by the federal contractor. Hence, it is recommended that the EO clause be included in most (if not all) of the contractor’s documents. It is, however, not necessary to include the full text of the EO clause in the job postings or advertisements. Simply stating that the contractor is an EOE (Equal Opportunity Employer) is sufficient as a tag line in the job postings and advertisements.

2) Send written notification of the company policy to vendors, suppliers, and subcontractors (41 CFR 60-741.44[f(5)]; 41 CFR 60-250.44[f(6)]; 41 CFR 60-300.44[f(6)]). Although not specifically stated in the regulations, contractors should be sending out these notifications on a regular basis (i.e., at least annually).