Key OFCCP Audit Focus: Outreach to Veterans and Disabled Individuals

It is no secret that the Office of Federal Contract Compliance Programs (OFCCP) considers outreach to veterans and disabled individuals to be a priority.  OFCCP Director Patricia Shiu, shortly after assuming office, notified the contractor community that OFCCP intends to revise the regulations implementing the Vietnam Era Veterans Readjustment Assistance Act of 1974 (VEVRAA) and Section 503 of the Rehabilitation Act of 1973.  She held listening tours inviting public questions and comments about those regulations.  And outreach to veterans and disabled individuals is one focus of the agency’s draft strategic plan, published in March, 2010.  For more information regarding OFCCP’s Strategic Plan, click Here.

OFCCP’s Advance Notice of Proposed Rulemaking (ANPR) for the Section 503 regulations, published on July 23, 2010, only reinforces the agency’s focus on disabled individuals.  For more information about the Section 503 ANPR, click Here.  An ANPR for the VEVRAA regulations is on the horizon as well. 

With the significant increase in onsite compliance evaluations by OFCCP, the focus on veterans and individuals with disabilities has become more pronounced.  Compliance officers are conducting onsite evaluations of contractors’ establishments, even in the absence of indicators of discrimination, solely to assess outreach efforts.  OFCCP is initiating conciliation efforts in situations where agency representatives believe outreach efforts have not been sufficient, even where all other compliance obligations undisputedly have been satisfied. 

In our current economic environment, many contractors have been forced to reduce their workforces, and hiring has not been a significant area of focus.  As a result, outreach efforts have fallen by the wayside, with resources being allocated in other directions.  Unfortunately, this leaves many federal contractors with limited evidence of outreach efforts to share with OFCCP during a compliance review.

Regulatory Outreach Requirements

VEVRAA, as amended, and Section 503 of the Rehabilitation Act, along with their implementing regulations, require federal contractors and subcontractors to engage in outreach activities designed to facilitate the recruitment of veterans and qualified individuals with disabilities.  The regulations suggest a cornucopia of possible outreach activities.  Contractors are advised to seek assistance from community representatives and organizations to focus on recruiting and developing on-the-job training for veterans and disabled individuals.  Examples of such organizations include the local Veterans’ Employment Representative in the state employment service office; the Department of Veterans Affairs Regional Office; college veterans’ counselors and coordinators; local veterans’ groups and veterans’ service centers; vocational rehabilitation and social service agencies; and other local organizations serving disabled individuals. 

The VEVRAA and Section 503 regulations make it clear that contractors should develop active, meaningful relationships with these local referral sources, allowing for regular communication and feedback.  The goal is for referral sources to become familiar with the contractor, its facilities, and its hiring needs.  For example, the regulations suggest that contractors hold formal briefing sessions at their job sites with representatives of these various organizations, offer tours of the facilities, and share descriptions of current and future job openings and the contractor’s hiring processes.  The regulations further anticipate that referral sources can provide “technical assistance” to contractors consisting of advice on proper placement, training and accommodations.

In addition, contractors are advised to make special efforts at educational institutions to recruit veterans and disabled students; participate in work-study programs with Department of Veterans Affairs rehabilitation facilities and institutions such as schools for the blind, deaf or learning disabled; and make disabled employees and veterans available for participation in career days, youth motivation programs, and similar activities in the community.

Demonstrating Outreach Efforts and Preparing for a Compliance Evaluation

Contractors should keep documentation of all communications with referral sources for veterans and individuals with disabilities, beyond the mere posting of open positions.  Ideally, contractors will have documentation reflecting written or verbal communications with specific contacts at referral sources for veterans and disabled individuals.  Those communications should cover topics such as invitations to visit the contractor’s establishments, requests for input about recruitment efforts or selection processes, in person meetings, and other information sharing.  These examples are not exhaustive.

During a compliance evaluation, contractors should anticipate that OFCCP will seek lists of  employees who have identified themselves as veterans or disabled individuals, information about how contractors solicit that information, documentation reflecting requests for accommodations and the outcome of those requests, information about assistance contractors may provide to families of veterans called to duty, and data from applicant tracking systems reflecting referral sources so OFCCP can evaluate the effectiveness of the contractors’ outreach efforts. 

Be Proactive

Given this heightened scrutiny, we recommend that federal contractors take immediate steps to engage in more robust outreach efforts.  Once you are faced with an audit, it is challenging to re-create a history of compliant outreach efforts.  Even small improvements now can demonstrate basic compliance in future audits. 

If you have any questions about this One Minute Memo or affirmative action compliance generally, please contact the Seyfarth attorney with whom you work or any member of our OFCCP & Affirmative Action Compliance Team.