In a recent speech before the National Employment Law Institute, Charles James, Head of the Office of Federal Contract Compliance Programs ("OFCCP"), indicated that the OFCCP will become more "friendly" under his administration. Mr. James took over the OFCCP in June of 2001. The OFCCP is the federal agency charged with enforcing affirmative action and discrimination laws among businesses who hold contracts with the federal government (this includes most banks and financial institutions). Mr. James began his speech by indicating that prior to stepping into government service, he worked more than ten (10) years for a federal contractor and thus knew the "problems contractors faced when dealing with the OFCCP." Mr. James indicated that during his administration, he would make every effort to make sure that the OFCCP became a more "friendly" organization toward federal contractors. For example, James announced that a series of town meetings would be held with contractors over the next several months to determine how the agency can more appropriately interact with contractors. Mr. James also indicated that the OFCCP is attempting to transform itself from an "enforcer" to an "assister."

Mr. James cautioned, however, that federal contractors should not be lulled into thinking that the OFCCP is no longer going to uphold its mission of enforcing affirmative action and discrimination rules and regulations. As an example, Mr. James announced that although he may have some philosophical differences with the EO Survey that was mailed to many contractors in January 2001, his administration will continue use of the survey. Mr. James indicated that the next group of EO Surveys will be sent out sometime early in 2002 to those federal contractors who did not receive a survey in 2001. Federal contractors should be made aware, again, that the OFCCP uses EO Surveys as a means for determining which businesses should and which businesses should not be subjected to a full and complete audit by the OFCCP. Accordingly, great care should be taken when completing EO Surveys. In fact, federal contractors are urged to seek assistance of counsel before completing and returning an EO Survey to the OFCCP.

If you have any further questions concerning this or any other related matter, feel free to contact any member of the Rhoads & Sinon Employment and Labor Law Group.