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SMALL BUSINESS NEWS

Jul 2019

 

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Court Ruling Require EEOC Pay Reporting

A Regulatory Burden for Small Businesses Re-instated by the Courts.

 

In 2017 the new Trump administration in itís effort to reduce regulation removed a regulatory requirement put in place by the Obama administration requiring employers to submit pay and demographic reports to the Equal Employment Opportunity Commission (EEOC).  A court challenge was mounted by the National Womenís Law Center (National Women's Law Center, et al., v. Office of Management and Budget, et al., Civil Action No. 17-cv-2458 (D.D.C.)).  The court ruled that the reporting requirement must be re-instated.

 

By 30 September 2019 employers must submit their reports for calendar year 2017 and 2018.   This data is to be submitted as Component 2 of the EEO-1 form.  The report must be submitted at the EEO-1 Reporting Portal.

 

The regulation requires that employers with at lest 100 employees and federal contractors with 50 or more employees to report how much the employers paid workers of different sexes, races and ethnicities.  The collection of this data was adopted in an effort to identify and root out gender- and race-based pay gap. 

 

This action requires the EEOC to accept and secure vast amounts of sensitive data on millions of employees.  The EEOC stated that this is a burden it is not equipped to deal with.

 

On May 3, 2019, the Department of Justice filed a Notice of Appeal

Sources:
Court Ruling
EEO-1 Portal
EEOC

By Wendy Stuart

 

 

 

 

 

 

 

 

 

 
 

 

  
 

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