What is an Affirmative Action Program?
It is an annual written program, meeting the requirements of 41 CFR Part 60-2, 60-250.5 or 60-741.5, in which a contractor/subcontractor details the steps it will take and has already taken, to ensure equal employment opportunity. An Affirmative Action is composed of actions, policies, and procedures to which a contractor commits itself that are designed to achieve equal employment opportunity. The affirmative action obligation entails: (1) thorough, systematic efforts to prevent discrimination from occurring or to detect it and eliminate it as promptly as possible, and (2) recruitment and outreach measures.
The regulations define an AAP as a set of specific and result-oriented procedures to which a contractor commits itself to apply every good faith effort. The AAP is developed by the contractor to assist the contractor in a self-audit of its workforce. The AAP is kept on file and carried out by the contractor; it is submitted to OFCCP only if the agency requests it for the purpose of conducting a compliance review.
The AAP identifies those areas, if any, in the contractor’s workforce that reflect utilization of women and minorities. The regulations at 41 CFR 60-2.11 (b) define under-utilization as having fewer minorities or women in a particular job group than would reasonably be expected by their availability. When determining availability of women and minorities, contractors consider, among other factors, the presence of minorities and women having requisite skills in an area in which the contractor can reasonable recruit.
Based on the utilization analyses under Executive Order 11246 and the availability of qualified individuals, the contractors establish goals to reduce or overcome the under-utilization. Good faith efforts may include expanded efforts in outreach, recruitment, training and other activities to increase the pool of qualified minorities and females. The actual selection decision is to be made on a non-discriminatory basis.
What is a Contractor/Subcontractor, according to the Affirmative Action Regulations?
A contractor, as described below, is:(a) Prime contractor. Any person holding, and for enforcement purposes any person who has held, a contract subject to the Executive Order, Section 503 or 38 U.S.C. §4212.
(b) Subcontractor. Any person holding, and for enforcement purposes any person who has held, a subcontract subject to the Executive Order, Section 503 or 38 U.S.C. §4212.
(c) First-tier subcontractor. A subcontractor holding a subcontract with a prime contractor.
A subcontractor, as described below, is: Any person holding a subcontract, or for enforcement purposes any person who has held a subcontract, subject to the Executive Order, Section 503 or 38 U.S.C. 4212. A subcontract is:
Any agreement or arrangement between a contractor and any person (in which the parties do not stand in the relationship of an employer and an employee):
(a) for the furnishing of supplies or services or for the use of real or personal property, including lease arrangements, which, in whole or in part, is necessary to the performance of any one or more Government contracts; or
(b) under which any portion of the contractor's obligation under one or more Government contracts is performed, undertaken or assumed. See 41 CFR 60-1.3.
Who has to comply with Affirmative Action?
a) Manufacturing, service and supply contractors/subcontractors with 50 or more employees and government contracts of $50,000 or more are required, under Executive Order 11246, to develop and implement a written affirmative action program (AAP) for each establishment.
b) Construction Contractors
If you have to comply with Affirmative Action, please, feel free to contact us with questions regarding your obligations. We will cordially assist in bringing you into compliance with Federal Statute.