Understanding your EEO-1 Requirements

The Equal Employment Opportunity Commission (EEOC) is the government agency that is responsible for regulating discrimination and harassment in the workplace. One of the primary roles of the EEOC is to enforce federal laws prohibiting employment discrimination based on race, color, gender, religion, national origin, age, and disability.In order to assess the level of diversity in the U.S. workforce, the EEOC requires that certain employers submit an EEO-1 report annually. The report calls for applicable employers to provide a count of their employees by job category and then by ethnicity, race and gender. This data is used to identify companies, industries, or regions that lack a diversified workforce.

Below are some employer requirements as they pertain to gathering EEO-1 data and filing the report:

1. Who must file. The report is required to be filed by: (1) all employers with 100 or more employees, except state and local governments; and (2) all federal contractors with at least 50 employees and contracts of $50,000 or more. Of course, other employers are encouraged to use the survey as a means of monitoring their own internal diversity practices and identify areas that may be in need of improvement.
2. Recent changes. Effective last year, the EEOC added additional racial categories, renamed certain categories, and also provided for clearer distinctions between management and non-management status. Specifically, the report now includes the category “Two or More Races”. Additionally, what used to be titled “Black” is now “Black and African American” and what used to be “Hispanic” is now “Hispanic or Latino”. These changes are intended to obtain a more accurate picture of the demographic make-up of the U.S. workforce.

3. Data collection. The recent revisions also offered some specific guidance regarding how employers are to collect data from their employees. The EEOC used to encourage employers to identify the race and/or ethnicity of their employees by visual inspection. The EEOC now prefers that employers gather data through employees’ voluntary self-identification. Should an employee decline to self-identify, an employer may only obtain the necessary information from existing employment records or by visual observation.
4. Recordkeeping. To ensure confidentiality and to protect against discrimination,self-identification forms are to be kept separately from employee personnel files. The type of information gathered in an EEO-1 report is to be used solely for government reporting requirements and affirmative action programs.

5. Deadlines. The EEO-1 report must be filed no later than September 30^th of each year. The report must include all full-time and part-time employees from any pay period in July through September of the reporting year.
6. How to file. The EEOC strongly recommends that EEO-1 reports be submitted through the EEO-1 Online Filing System. Paper EEO-1 forms may be generated by request, only for employers without internet access. For more on the EEO-1 filing instructions, click here.

7. Penalties. It is important for employers to understand their EEO reporting requirements. Those required to file but fail to do so, or those who do not meet the filing deadline, may face hefty fines levied by the EEOC. Additionally, employers who willfully report false information will also be subject to strict penalties including fines and imprisonment.

Although filing the EEO-1 report is only required once a year, it is important to keep EEO requirements on your company’s radar throughout the year. All employers are required to ensure consistent employment practices among all employees, regardless of their race, color, gender, religion, national origin, age, or disability.

Unconscious Discrimination: Are You Guilty?

With the abundance of anti-discrimination laws and the growing number of disgruntled employees flooding the courts with EEOC charges, employers need to be extra cautious when making employment decisions. Even seemingly harmless employment actions may be construed as discriminatory if such decisions negatively affect a certain group of people. Intentions aside, in order to combat discrimination claims and ensure fair and equitable employment practices, employers need to elicit measures for preventing discrimination.

But how can you prevent discrimination when you don’t even know you’re doing it? Unconscious or “implicit” discrimination occurs when employment decisions such as, hiring, firing, or promoting are based on subtle, ingrained biases against certain groups. This typically results in a disproportionate number of members of a protected class receiving opportunities. The best way to combat against discriminatory practices is through awareness, accountability, and through the development of systems that ensure all decisions are based on merit and ability rather than any other preconceived notion or engrained bias.

Below are some guidelines for preventing discriminatory behaviors in your workplace:

1. Treat all employees the same. With regards to preventing discrimination claims, one of the most basic ways to avoid problems is by treating all employees (and applicants) alike. Discrimination laws aside, in order to ensure good employee relations and satisfied workers, equality is essential. All employees with similar backgrounds and experiences should be given equal opportunities. A rule of thumb: when making employment decisions make sure you are relying on sound business reasons not personal beliefs or preconceived notions.

2. Only ask job-related questions. When interviewing candidates, only ask job-related questions. Don’t ask applicants if they have children, where their ancestors are from, or what religion they are. If this information is revealed, it can later be held against the employer as a reason for not hiring the individual. And for that matter, don’t ask your employees personal questions that can later come back to haunt you. To err on the side of caution, only ask questions that pertain to one’s ability to perform the essential functions of the job.

3. Broadcast your anti-discrimination policies. All employees should be aware of your company’s policy on discrimination, harassment, and retaliation. Hold staff meetings distribute memos, and post the policies in breakrooms so that the severity of the issue will really hit home. It’s important to not only communicate these policies to your staff, but to stand by them as well. Doing so will demonstrate that you value, and strive for, a discrimination-free workplace.

4. Establish a grievance process. Develop a system for employees to raise concerns if they feel as though they have been discriminated against. A typical grievance process starts at the lower-level and if not resolved, works its way up the totem pole. Employees are encouraged to first raise concerns with their supervisors and if they still aren’t satisfied they should then be encouraged to submit a formal written grievance to management. Management is then responsible for reviewing and investigating the facts at hand as well as reaching an appropriate resolution. If an employee brings to your attention that he or she feels as though they are being discriminated against, you need to take action immediately. Ignoring employee concerns will only serve to support his or her discrimination claim.
5. Train employees. In order to promote awareness, establish a diversity training program. In the event of a discrimination lawsuit, evidence of a mandatory diversity training program is an excellent means of establishing an employer’s good-faith efforts to prevent discrimination.

6. Train managers and supervisors. Hold separate training sessions with your managers and supervisors in order to ensure they are familiar with company procedures for handling discrimination complaints, making employment decisions, and ensuring against retaliation. And with a variety of low cost do-it yourself solutions, diversity training doesn’t need to burn a hole in your pockets.

7. Hold employees accountable. Make it known that employees who do engage in discriminatory behavior will be help accountable. Managers especially, need to be aware of the repercussions that come from discrimination, including suspension and termination.

8. Develop an affirmative action plan. Even if you are not required to comply with federal Affirmative Action requirements, it may be in your best interest to develop an affirmative action plan in order to be sure that when hiring, promoting, and providing access to training opportunities that you are reaching out to all groups.

The Equal Employment Opportunity Commission (EEOC) oversees a variety of anti-discrimination laws, which in aggregate make it illegal for employers to discriminate on the basis of: race, color, religion, gender, age, disability and national origin. Employers need to be sure that when making employment decisions, these protected characteristics do not come into play. By following the guidelines outlined above, you will communicate to your employees that discrimination is unacceptable and that you are committed to providing equal opportunities to all your employees.