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How Not Complying With the OFCCP Regulations Can Affect Your Business

As a Federal government contractor or subcontractor, your focus is on growing your business, both in terms of revenue and reputation by hiring the right talent. Whether you are looking to put up Craiglist bulk job postings, accepting online job applications, or promoting candidates, you will need to comply with OFCCP regulations. Not doing so can impact your business in many ways. Here’s a closer look at your compliance obligations and the consequences of non-compliance.

Understanding compliance obligations

OFCCP (Office of Federal Contractor Compliance Programs) is responsible for ensuring that Federal government contractors and subcontractors comply with the regulations on equitable employment. The regulation aims to make sure that employment opportunities created by Federal dollars are nondiscriminatory in nature.

Contractors and subcontractors who do business with the Federal government are required to

  • Specify in their recruitment postings that all qualified job applicants will be considered for employment regardless of their race, color, gender, national origin, or religion.
  • Create an action plan and take ‘affirmative action’ to make sure that employees are not discriminated against
  • Submit the EEO-1 report every year- a compliance survey where the workforce data is categorized by job category, gender, and race/ethnicity to meet non-discrimination and affirmative action requirements.
  • Maintain records on the workforce such as hires, transfers, promotions, compensation, and termination, and job postings including automated Craiglist posting.
  • Ensure the online process of job applications is accessible to those with disabilities.

The cost of non-compliance with OFCCP regulations

Monetary penalties – Contractors and subcontractors who fail to comply with OFCCP regulations can face harsh monetary penalties. In 2017, the enforcement proceedings against non-compliant contractors resulted in a monetary settlement of $23,910,884 while in 2019 the monetary settlement for employment discrimination totaled $40,569,816.

In 2020, OFCCP reached a $3.5 million settlement with Intel for alleged gender and race-based pay discrimination. The company will need to pay arrears and interest of $3.5 million and $1.5 million to ensure pay equity for their employees in engineering roles.

Not all small businesses can bear the financial burden that monetary penalties of non-compliance with OFCCP laws can bring.

Loss of reputation –The OFCCP publishes even minor violations committed by contractors in its FOIA library, that can draw the attention of media and the public. Bad press impacts employee morale and customer relations, eventually creating negative perception of your business.

Loss of contract –Whether the violation was in relation to your Craigslist bulk job posting or record-keeping, non-compliance with OFCCP regulations can raise the risk of your contract getting canceled. The DOJ (Department of Justice) can also bring a criminal lawsuit against contractors providing false information on employment practices.

Loss of productivity-OFCCP audit can last for months, which can lead to missed project deadlines, delays, and overall reduced productivity.

Why work with the leading OFCCP compliance job posting services provider?

Non-compliance with OFCCP regulations can put your business’s financial health and reputation at risk, not to mention your employee morale and customer relations. When you work with Redwood Technology Services, the leading OFCCP compliance job posting services provider, you can ensure your Craiglist bulk job posting is fully compliant with OFCCP regulations.

Apart from automated Craiglist posting, we submit your jobs to the relevant government workforce sites and agencies for approval and publication.

Get in touch with us for customized Craiglist bulk job postings and OFCCP compliance job posting services.

Redwood Technology Solutions specialize in a wide range of recruitment process outsourcing services. These include manual job postingsOFCCP Compliance Job Posting, for Federal Compliance, High Volume Craigslist Job PostingRecruitment Media Buying, and general Business Process Outsourcing. Our team has over 16 years of experience in the staffing, talent acquisition, and recruitment industry. Get in touch today – our team is ready to help customize a solution specific to your company’s needs.

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