Round One of EEO-1 Reporting Due This Week (May 31)
Let it never be said that 2016-2019 was a period of ordinariness and calm when it comes to the world of EEO-1 reporting for larger businesses and certain government contractors. After the Obama administration passed regulations requiring the collection and reporting of wage information for women and along racial/ethnic lines only to have a nascent Trump administration nix the regulations, claiming they were onerous, the business community finds itself back to preparing to collect and report the data in 2019. Interesting times, indeed.
Due to the disruption caused by the courts there are multiple filing deadlines for covered employers this year. Historically employers had to report data on their racial/ethnic and gender employment demographics. The reporting derives from data pulled by employees in the final quarter of the calendar year the report covers – i.e. October, November and December of 2018 for the report due on May 31, 2019. It indicates through self-identification the breakdown of employees along racial/ethnicity, gender and job category lines at each of the company’s locations. With the survey data employers complete the EEO-1 form online and upload it to the U.S. Equal Employment Opportunity Commission (EEOC). This report is referred to as Component 1 data.
New is what is referred to as Component 2 data. This is the new pay data component employers will need to report to provide the government (and employees and their legal counsel) with information regarding the company’s statistical wage practices and, mainly, whether there is any correlation between wages and race, ethnicity and/or gender. This pay data will further break down into 12 pay bands, so employers will technically report which pay band each employee’s wages fall within. The information will be absolute fodder for class action discrimination claims. Employers will derive this data from W-2 information, which should be readily available. The current deadline for reporting Component 2 dates is September 30, 2019, covering the 2017 and 2018 reporting years. The EEOC projects that by mid/late July its online reporting system for filing of Component 2 data will be live. We will see.
Before that, however, employers must report their EEO-1 surveys no later than Friday, May 31. If you are reading this and wondering what the EEO-1 report is and whether you need to file the report you may find more information at https://www.eeoc.gov/employers/eeo1survey/faq.cfm, though it is likely the window to file will be closed by the time you look into the matter. Please contact any Labor and Employment attorney at Thompson Coe or myHRgenius at (651) 389-5000 or email@example.com with any questions or to discuss.
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