Explanation:
Implementing the American Recovery and Reinvestment Act of 2009
Covered Federal contractors who receive ARRA funding must comply with Executive Order 11246, as amended (EO 11246); Section 503 of the Rehabilitation Act of 1973,as amended (Section 503); and the Vietnam Veterans' Readjustment Assistance Act of 1974, as amended, 38 U.S.C. 4212 (VEVRAA). OFCCP will conduct compliance evaluations and host compliance assistance events to ensure that federal contractors comply and are aware of their responsibilities under EO 11246, Section 503 and VEVRAA.
OFCCP Affirms NASWA Interpretation Of FCJL Regulations
Over the last several months, NASWA has been working with U.S. Department of Labor Office of Federal Contract Compliance Programs (OFCCP) to clarify the interpretation of guidance regarding federal contractor compliance with Federal Contractor Job Listing (FCJL).
The Vietnam Era Veterans' Readjustment Assistance Act of 1974 (VEVRAA) includes FCJL regulations which require Federal contractors to list job openings with appropriate employment service delivery systems to ensure state workforce agencies provide protected veterans priority referrals to federal contractor job openings. According to 41 CFR 60-300.5(a) (2), "Listing employment openings with the state workforce agency job bank or the local employment service delivery system where the opening occurs will satisfy the requirement to list jobs with the appropriate employment service delivery system..."
The flexibility of this regulation is important to state workforce agencies and employers who have been relying on both authorized methods to meet compliance requirements since USDOL defunded America's Job Bank in the summer of 2007. Many employers meet compliance requirements through VetCentral, the sister-site of the JobCentral National Labor Exchange (NLX), which was designed to meet OFCCP compliance with FCJL.
However, some regional OFCCP officials misinterpreted this regulation; insisting employers could only meet compliance by manually listing FCJL jobs in state job banks and refusing to recognize VetCentral as a satisfactory employment service delivery vehicle.
On April 13, NASWA sent a memorandum to Lorenzo Harrison, OFCCP Acting Director, requesting clarification of the "mandatory job listing" regulations. NASWA Executive Director Rich Hobbie requested OFCCP "immediately correct any misunderstandings its field staff has of this regulation so employers will be able to comply by either 'listing employment openings with the state workforce agency job bank or the local employment service delivery system where the opening occurs,' as stated in the regulations." To see the memo click here.
On May 8, Director Harrison responded to NASWA in a letter (click here) which endorsed NASWA's interpretation of FCJL regulations and pledged to correct misunderstandings regional OFCCP officials may have with the regulation. "The regulations clearly state that listing with either the state workforce agency job bank or the local employment service delivery system will satisfy the mandatory job listing requirement, and OFCCP will reiterate this information to all of our OFCCP staff."
Statutory Language
Executive Order 11246, as amended (EO 11246)
The Executive Order prohibits federal contractors and federally-assisted construction contractors and subcontractors, who do over $10,000 in Government business in one year from discriminating in employment decisions on the basis of race, color, religion, sex, or national origin. The Executive Order also requires Government contractors to take affirmative action to ensure that equal opportunity is provided in all aspects of their employment.
Section 503 of the Rehabilitation Act of 1973,as amended (Section 503)
Any contract in excess of $10,000 entered into by any Federal department or agency for the procurement of personal property and nonpersonal services (including construction) for the United States shall contain a provision requiring that the party contracting with the United States shall take affirmative action to employ and advance in employment qualified individuals with disabilities.
Vietnam Veterans' Readjustment Assistance Act of 1974, as amended, 38 U.S.C. 4212 (VEVRAA)
Covered contracts entered into by any department or agency for the procurement of personal property and non-personal services (including construction) for the United States, shall contain a provision requiring that the party contracting with the United States shall take affirmative action to employ and advance in employment qualified special disabled veterans, veterans of the Vietnam era and any other veterans who served on active duty during a war or in a campaign or expedition for which a campaign badge has been authorized. The provisions of this section shall apply to any subcontract entered into by a prime contractor in carrying out any contract for the procurement of personal property and non-personal services (including construction) for the United States.
There are currently two different coverage thresholds under VEVRAA.
- The VEVRAA regulations found at 41 C.F.R. part 60-250 generally apply to Government contracts of $25,000 or more entered into before December 1, 2003. The threshold amount for coverage is a single contract of $25,000 or more; contracts are not aggregated to reach the coverage threshold. If a Federal contractor received a government contract of at least $50,000 prior to December 1, 2003, an AAP must be developed in accordance with the 41 C.F.R. part 60-250 VEVRAA regulations. As explained below, some contracts that were entered into before December 1, 2003 will be subject to the regulations found at 41 C.F.R. part 60-300.
- The regulations found at 41 C.F.R. part 60-300 apply to Government contracts entered into on or after December 1, 2003. The threshold amount for coverage and AAP threshold coverage is a single contract of $100,000 or more, entered into on or after December 1, 2003; contracts are not aggregated to reach the coverage threshold.
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