Certain responsibilities and compliance requirements affect federal subcontractors as part of a business relationship between the federal government and federal contractors. More specifically, the government subcontractors must adhere to the ban on discrimination based on a protected veteran's status, gender, race, religion, country, color, or other characteristics. Affirmative action and nondiscrimination duties may have severe repercussions on the subcontractors in the event that the Office-Federal-Contractor-Compliance-Programs (OFCCP) are not followed. These include scrutiny, conciliation deals, and the imposition of back pay awards based on claimed discrimination practices. In extreme circumstances, the subcontractor might be barred from engaging in any contracts with the federal government. Accordingly, a routine review of a company based on whether they are a federal contractor/subcontractor is to be conducted.
Another requirement is that federal subcontractors in line with the federal contractors are to maintain records of their personnel, and their employment terms and conditions. Such records include job descriptions, job advertisements, job offer records, application letters and resumes, tests and test results, interview notes, applicant’s race, disability, gender, veteran status, written employment policies and procedures, personnel files among other requirements.
The important components of an affirmative component action are as follows. The first is the plan process and methodology, which requires the preparation of a written plan displaying the organization structure, policies, statistical reports, programs, and practices if the supply and service contractor have a contract or subcontract valued at $50,000 or more. The Executive Order 11246, the Rehabilitation Act of 1973, and the Vietnam Era Veterans’ Readjustment Assistance Act have mandated this requirement. During the plan preparation, time underestimates should not be made regarding the duration it takes to sample accurate data prior to the current year’s plan expiration date. The aim is to avoid clogging of excess work while there still is much more to left undone.
During data collection for the underway plan, it is important to know the data sets that are more important in deriving the required results. Part of the compliance obligation is to have an accurate set of data with complete disposition of the applicant and movement tracking within the organization. Inaccurate data in performing an audit may yield problematic results and error. For contractors operating in multiple locations, the use of software may yield beneficial results since a physical involvement would rather be cumbersome.
The second important component is the efforts on good faith. With the completion of the organization plan, the next step involved is the development of the action plans for the Good Faith Efforts (GFEs) and including them in the written narrative. GFEs are activities designed to help make progress toward achieving the goals in the AAP. Identification of the GFEs can allow reviewing and communication of the details concerning the identified efforts execution, operation policies, and processes; and ensuring EEO taglines are appropriately placed. Even though much time is, spent in the preparation stage, the importance of documentation and thorough measures to the efforts input should not be overlooked. Often the OFCCP requests the documentation while performing an audit, thereby outlining the importance of a proactive record preparation.
The third important requirement is the awareness training. The importance of employee training is not debatable. Regardless of the form of training offered, whether online sessions, in-line, or compliance, while taken seriously, training enables the employee to develop a deeper understanding of the values of each unique experience and character in their place of work as well as an understanding of the guidelines of compliance. This phase of the component requires a proactive means to record the employee progress and the completion of training.
The last important component accounts for risk mitigation in the organization. The building components for this phase include availability of data, statistical reports and analysis, policies, procedures, employee training records, and the GFEs. In addition, an analysis on the Adverse Impact regarding the selection decisions is a critical component basis for compliance. In the event of adverse impacts, a review on the individual component selection process is essential for this phase. Routine progress monitoring throughout the year towards preparation of multiple adverse impact analysis and towards set goals is recommended.
In relating the affirmative action goals to the organization strategic human resources plan, annual recruitment drives can be implemented to attract and maintain skilled minorities and women to the underutilized job categories. It also up brings the concept of good faith efforts and monitors it to reach its goals. Recruitment drives should be powered by the need and outreach developing a diversified applicant’s pool and underutilized groups. The human resource manager involved with selection, recruitment, and maintenance of a qualified workforce performs this critical role.
References
Federal contracts: introduction to procurement and compliance CLE in Colorado, Inc. – 2012
The U.S. Department of Labor: The Office of Federal Contract Compliance Programs (OFCCP) www.dol.gov/esa/ofccp/index.htm accessed 13 January 2017
Construction law handbook Richard Allen-Stanley Martin-Robert Cushman - Wolters Kluwer Law & Business – 2009
Handbook of Human Resources Administration McGraw-Hill – 2014
Improper management intervention in multiple award schedule contracts: Office of Audits, Office of Inspector General, United States General Services Administration 2013
