Happy New Year!
As we ring in 2017 and prepare for affirmative action and OFCCP compliance in a Trump administration, many contractors are wondering whether 2017 will bring an OFCCP audit their way.
Some may remember in years past around this time OFCCP would send out Courtesy Scheduling Announcement Letters (CSALs) providing advance notification to contractors of upcoming audits. The list of contractors with establishments to be audited is generated every fiscal year out of the Agency’s national office in Washington D.C. based on an administratively neutral selection criteria. Previously, after the list was generated, OFCCP would voluntarily issue CSALs to notify contractors that one or more of their facilities had been selected to be audited at some point during the agency’s fiscal year (October 1 – September 31). Its actually been quite some time, however, since OFCCP provided employers with this advance notice with the last round going out in 2014.
In the past, not all CSALs resulted in an actual audit but, it was a good indication that a facility would be audited at some point. In fact, since the 2014 CSALs, OFCCP has continued to conduct audits of those identified in the 2014 CSALs, long after the conclusion of the 2014-15 fiscal year. The list however, was not dispositive as recent years have seen OFCCP conduct audits for which it issued no CSAL.
We do not know whether OFCCP will again choose to issue CSALs in the future, possibly once a new Director is in place, but in response to our inquiry on the topic to the National Office, it appears, for the time being, the Agency will maintain the status quo and not issue CSALs.
As a result, as contractors prepare to turn over their calendar year affirmative action plans, as well as those who have recently updated or will be soon updating their AAP, its imperative to ensure you are prepared for an OFCCP audit, including the compensation elements of Item 19 and the veterans and individuals with disability requirements set forth in the Scheduling Letter.