OFCCP Ends Disability Data Collection for Federal Contractors
A new Office of Federal Contract Compliance Programs final rule eliminates the requirement for federal contractors to solicit disability status, but many other affirmative action obligations remain.
The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) has issued a final rule that eliminates the requirement for federal contractors to solicit disability status from applicants and employees under Section 503 of the Rehabilitation Act. The rule, which took effect September 21, also removes the corresponding 7% disability utilization goal from contractors’ annual affirmative action plan (AAP) obligations.
This change significantly alters compliance for government contractors, shifting the focus of disability AAPs from quantitative data analysis to qualitative efforts, such as reviewing outreach effectiveness and ensuring accessibility. According to the agency, a key rationale for the rule is the belief that soliciting disability status may conflict with the Americans with Disabilities Act (ADA). However, all affirmative action requirements for protected veterans, including data collection and reporting, remain in place.
Counsel should advise clients to immediately stop collecting disability data unless required by specific state laws and to ensure their HR systems can distinguish between the now-prohibited disability inquiry and the still-required veteran self-identification process. While OFCCP has not announced broad new audits, it continues to pursue individual complaint investigations, which can expand into wider compliance reviews.