HR Law: EEO-1 Reporting
As your company develops, more responsibilities are added to your list of tasks, reporting and planning. Increasing your staff is a great accomplishment! This growth requires you to also fulfill governmental requirements when your employee count reaches a certain number. For the purpose of this article, the government requirement is to ensure that you are an Equal Opportunity Employer, which requires you to complete EEO-1 Reporting annually.
The EEO-1 Report is a compliance survey mandated by federal statute and regulations. The survey requires company employment data to be categorized by race/ethnicity, gender and job category. It is really a means to tracking compliance for all Equal Opportunity Employers.
Who must complete the EEO-1 Report Annually?
» All private employers with 100 or more employees
» Private employer with less than 100 employees that are owned, affiliated with or controlled by a company with more than 100 employees overall
» Federal contractors and first-tier subcontractors with 50 or more employees with Contracts of at least $50,000
» Employers with 50 or more employees that act as an issuing and paying agent for US Savings Bonds OR serve as a depository of government funds
What form should I use?
» Single-Establishment Companies: File Standard 100 Form
» Multi-Establishment Companies: File individual 100 Forms for each location with 50 or more employees. A consolidated report is also required with all locations, even those locations with fewer than 50 employees.
Information Needed to Complete Report(s)
» Employee List (full time and part time)
» Self-Identification forms are each employee (Employers need to provide employees the opportunity to self-identify their own ethnicity. If an employee then refuses to do so, employment records or visual observation must be used.)
» Location of each employee (employees who telework must be counted in the location which they report)
» Job Category for each employee
Steps to Reporting:
» File Your EEO-1 Report Online by September 30th of each year.
» Choose one pay period in the 3rd Quarter (July, August, September) of the current survey year to complete the EEO-1 Report
» Complete the EEO-1 Online Application (First time Filers must register before completing the Application)
» Complete or Pull a list of each employee (in this order) with location, job category, ethnicity, race and gender.
» Check the accuracy of the employment data:
For Single-Establishments – The sum total for Employment Data (Line 10-Column A-Section D) must equal the sum total of Line 10-Sections B-K
For Multiple-Establishments – The totals on the Headquarter Report, Establishment(s) Report and/or Establishment(s) List (Fewer than 50 at these locations) must equal the totals on the Consolidated Report (EEOC Form 352B)
» Certify! Without clicking the “certify report” button, the EEOC will not receive your report. You will receive an EEO-1 violation notice and appear on our non-respondent list even if the rest of the report is completed.
» Records should be retained for at least one year from the records creation date.
Who Administrates EEO-1 Reporting?
The Equal Employment Opportunity commission (EEOC) and Office of Federal Contract Compliance Programs (OFCCP) administrate EEO-Reporting
How is the data used?
The EEOC states: “Both the EEOC and OFCCP have used EEO-1 data since 1966. The EEOC uses EEO-1 data to support civil rights enforcement and to analyze employment patterns, such as the representation of female and minority workers within companies, industries or regions. The OFCCP uses EEO-1 data to determine which company establishments to select for compliance reviews. OFCCP’s system uses statistical assessment of EEO-1 data to select facilities where the likelihood of systematic discrimination is the greatest.”
For specific EEO-1 reporting questions for your company, contact the company’s designated EEO-1 contact person or EEO-1 Joint Reporting Committee.
Pay DATA Proposal for Employers with 100 employees+
There is a proposal by the EEOC to also capture additional data from employers with 100 employees. Besides the above data (noted as Component 1-demographic data), employers with 100 or more employees will have to also provide “Component 2 which will collect data on employees’ W-2 earnings and hours worked, which EEO-1 filers already maintain in the ordinary course of business.” Component 2 will have two sections and will require covered employers to report aggregate W-2 wages and hours worked in 12 pay bands for each of the 10 EEO-1 job categories and 14 gender, race, and ethnicity categories on the current form. This would go into effect in 2017. There is a comment period that will end on 8/15/16.
Additional Information Regarding the Proposed Rule:
» Employers would use Box 1 on the employees’ W-2 for Component 2 reporting of wages.
» The rule also proposes to change the deadline date from September 30 to March 31. For example: 2017 reporting would be completed by 3/31/18 instead of 9/30/17. 2016 reporting will stay the same.
» Also, the rule proposes to report hours worked for exempt employees. The new proposal clarifies that the EEO-1 instructions will give employers the option to: (1) report a proxy of 40 hours per week for full-time exempt employees and 20 hours per week for part-time exempt employees, multiplied by the number of weeks the individuals were employed, or (2) provide actual hours of work by exempt employees during the EEO-1 reporting year if the employer already maintains accurate records of this information.
GWHR will provide updates as more information is released. HR Law: EEO-1 Reporting
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