New Requirement to Provide Pay Data for EEO-1 Report Put On Hold as OMB Reviews

Businesses no longer have to sweat the details about providing summary pay data as part of a new EEO-1 Report, at least for now. The Office of Management and Budget (OMB) has stayed the implementation of the new form in accordance with its authority under the Paperwork Reduction Act (PRA) of 1995 while it conducts a review of the effectiveness of those aspects of the EEO-1 form that were revised on September 29, 2016.

Victoria Lipnic, Acting Chair of the Equal Opportunity Employment Commission (EEOC), was informed about the OMB decision to put the new EEO-1 Report on hold via a memo on August 29, 2017 from Neomi Rao, Administrator, Office of Information and Regulatory Affairs. The memo stated, among other reasons, that the “OMB is concerned that some aspects of the revised collection of information lack practical utility, are unnecessarily burdensome, and do not adequately address privacy and confidentiality issues.”

In a statement issued on the same day, Lipnic said that companies are still expected to file the existing EEO-1 Report. “The EEOC remains committed to strong enforcement of our federal equal pay laws, a position I have long advocated. Today’s decision will not alter EEOC’s enforcement efforts,” she said.

Lipnic added: “I do hope that this decision will prompt a discussion of other more effective solutions to encourage employers to review their compensation practices to ensure equal pay and close the wage gap. I stand ready to work with Congress, federal agencies, and all stakeholders to achieve that goal.”

The current EEO-1 Report must be completed by companies, including federal contractors, with 100 or more employees. March 18, 2018, is the deadline to file the 2017 report with the EEOC and, for federal contractors, with the Office of Federal Contract Compliance Programs (OFCCP).

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