On September 24, 2013, the Office of Federal Contract Compliance Programs (OFCCP) finalized new Affirmative Action regulations for veterans and individuals with disabilities. The regulations go into effect March 24, 2014, and apply to both federal supply and service and federal construction contractors. The regulations impose an 8 percent utilization goal for individuals with disabilities. And, for the first time, federal construction contractors are required to solicit, measure, and evaluate quantitative data on veterans and individuals with disabilities.
On November 19, 2013, Associated Builders and Contractors, Inc. (ABC) filed a complaint in U.S. District Court for the District of Columbia seeking an injunction against the implementation of the disability regulations for federal construction contractors. ABC asserts that the new regulations impose “unprecedented, wasteful, and burdensome data collection and utilization requirements,” without sufficient data to support that these regulations are necessary or will lead to increased employment of individuals with disabilities. ABC accuses the OFCCP of ignoring the uniquely “fluid and temporary nature of the construction industry workforce,” which makes such data collection and evaluation requirements both burdensome and meaningless as a measure of the effectiveness of outreach and recruitment efforts. ABC also cites the “uniquely physical and hazardous” nature of the construction industry, which makes a utilization goal untenable. MSEC will watch this closely and provide updates as they are available.