EEO Reporting (Equal Employment Opportunity Component 1)

by | May 18, 2022

What is EEO-1 Reporting?

The Equal Employment Opportunity (EEO) Component 1 report is a mandatory annual compilation of demographics that requires all private sector employers with 100 or more employees, and federal contractors with 50 or more employees meeting certain criteria, to collect and report workforce data. U.S. Equal Equal Opportunity Commission

What hiring data do I need to collect?

Component 1 requires employers to collect and record data on the following characteristics of workers:

  • Race/ethnicity
  • Gender
  • Job category

A sample copy of the EEO-1 form and instructions can be found here: EEO-1 data collection.

What is the U.S. Equal Employment Opportunity Commission (EEOC)?

Employers are prohibited by law from discriminating against job applicants and employees on the basis of race, color, religion, sex (including sexual orientation, pregnancy, gender identity), age (40 or older), disability, national origin or genetic information. The U.S. Equal Employment Opportunity Commission (EEOC) enforces federal anti-discrimination laws in the workplace.

What is the OFCCP?

The Office of Federal Contract Compliance Programs (OFCCP) protects workers and promotes diversity by enforcing the law.

What is OFCCP reporting?

The OFCCP requires federal contractors to report the same employee EEO data as private employers.

OFCCP holds those who do business with the federal government (contractors and subcontractors) responsible for complying with the legal requirement to take affirmative action and not discriminate on the basis of race, color, sex, sexual orientation, gender identity, religion, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discharging or otherwise discriminating against applicants or employees who inquire about, discuss or disclose their compensation or that of others, subject to certain limitations. U.S. Department of Labor

Is the OFCCP the same as the EEOC?

The Office of Federal Contract Compliance Programs (OFCCP) and the Equal Employment Opportunity Commission (EEOC) are two federal agencies that fight discrimination in the workplace. However, the OFCCP enforces non-discrimination for business contractors and sub-contractors who obtain government contracts, while the EEOC responds to any workplace-related discrimination (or alleged discrimination). Both agencies have the authority to file lawsuits against violating employers, contractors and sub-contractors.

How do I identify an employee’s race and/or ethnicity for EEO reporting?

The Equal Employment Opportunity Commission requires employers to gather race and ethnic information on their employees. To comply with this regulation, you should ask all applicants to self-identify demographic information during the hiring process, and then provide them with another opportunity to do so after they are hired.

The EEOC recommends the following methods for ethnic and racial self-identification:

  1. Offer employees the opportunity to self-identify and
  2. Provide a statement about the voluntary nature of this inquiry for employees U.S. Equal Employment Opportunity Commission

EEO Compliance and Recruiting Guidelines

For recruiters and business owners, compliance means more than tracking and reporting demographic information on workers after hire. Employers must also comply with EEO applicant tracking rules for applicants not hired. For example, if a candidate was given a phone screening interview, interviewed but not offered a position, or given an assessment but not selected for hire, the employer must keep records that verify hiring decisions.

Employers must maintain compliance which can be achieved by reviewing job descriptions, applications, applicant identification, interview scorecards, and candidate assessments. Employers should keep applicant data for at least one year after the application period has ended.

When and How to Report Candidate Information

As discussed, employers must file EEO-1 reports annually. However, when it comes to candidates who are not hired, you do not need to submit data for such applicants. The information will be useful in the event a rejected candidate files a discrimination claim against your organization. In this case, comprehensive documentation about your hiring process and the rationale for hiring decision will help verify if your process was fair and non-discriminatory. Applications, filtering questionnaires, assessment scores and interview evaluations can provide this evidence.

Tools that can Drive Efficiency for EEO and OFCCP Compliance

Applicant tracking systems streamline the hiring process from beginning to end, including job descriptions, resume organization and management, filtering questionnaires, interview scripts and candidate scorecards.

 

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Additional resources