Legal Update
May 18, 2026
EEOC Proposes Rescission of Annual Reporting Requirement: What Employers Need to Know Now
Seyfarth Synopsis: On May 14, 2026, the EEOC submitted a proposal to rescind the EEO-1 reporting requirement, along with the EEO-3, EEO-4, and EEO-5 reports. The text of the proposed rule has not yet been published, and the EEOC must still complete the full rulemaking process before any rescission takes effect. Because current regulations require the EEO-1 Report to be filed on or before September 30 of each year, employers should prepare to file their 2025 reports unless and until the rescission is finalized.
Employers have been waiting for the EEO-1 Joint Reporting Committee to open its portal and announce a deadline for this year’s filings. That day may not come. Then again, it may… at least for one more year.
On May 14, 2026, the EEOC submitted a proposal to the Office of Information and Regulatory Affairs (“OIRA”) that would rescind the annual EEO-1 reporting requirement. The EEOC also proposed eliminating the EEO-3, EEO-4 and EEO-5 reports, among others (for unions, state and local government, and elementary-secondary school staff).
At this stage, the proposed rule is only that: a proposal. The text of the proposed rule has not been made publicly available, so the details regarding the EEOC’s rationale are not yet known. Instead, only a descriptive title signaling the EEOC’s intention has been made public: “Rescission of EEO-1, EEO-2, EEO-3, EEO-4, EEO-5, And Reporting Requirement Under Title VII, the ADA, GINA, and the PWFA.”
The EEOC still needs to go through the rulemaking process outlined by the Administrative Procedure Act (“APA”) before rescission of the reports would be effective. The rulemaking process has several discrete steps, including approval by OIRA, publication of a proposed rule, and a comment period for the general public, which typically takes months to complete. The process could also face significant opposition, since some civil rights advocates and former government officials have already weighed in to voice opposition to the report.
The EEOC also faces a pressing deadline. Current regulations provide that the EEO-1 Report must be completed “[o]n or before September 30 of each year.” 29 CFR 1602.7. As such, either the Report or its rescission must be completed by that date. Unless the proposal moves forward on an expedited basis, employers will likely still need to file reports by September 30th covering employment data for 2025.
This move by the EEOC is consistent with the current Administration’s broader policy direction. Its Chair, Andrea Lucas, has expressed concern about how employers use employee demographic data, noting that race and gender details can be problematic if provided to decisionmakers. The Federal government has also distanced itself from disparate impact liability, which looks at group-wide data and how neutral policies or practices may affect different populations in their application. The Administration’s focus has shifted to intentional discrimination against individuals or groups. As such, the EEOC’s proposal to discontinue collecting highly aggregated race and gender data that is typically used only for industry and trend analyses fits within the Administration’s broader policy agenda.
What does this mean for employers? Stay vigilant. Monitor the proposal’s development. Do not assume there will be no report this year, and be prepared to marshal the requisite data quickly. The EEOC could announce a 2025 deadline at any time, including towards the end of the summer which could mean that employers have only a limited time to collect data and submit their reports. For large organizations and multi-corporate enterprises, that may be much more challenging than it may appear.
Employers should also remember that, even without EEO-1 Reports, there are legitimate and practical uses for workforce demographic data. These include ensuring nondiscrimination under Title VII and other laws where disparate impact liability still exists. Statistical analyses remain key proactive tools for risk management under those laws. The equal employment opportunity landscape continues to evolve in ways that create new questions for employers. As always, Seyfarth will continue to track this proposal and its implications as it moves through the rulemaking process.
For questions regarding potential impact or compliance considerations, please contact the authors of this alert, a member of Seyfarth's People Analytics team, or your Seyfarth attorney.
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