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EEO Reporting: The Basics and Tools for Compliance

As an organization grows, so does its responsibilities. Case in Point: Employers with 100 or more employees are mandated by federal law to file an Equal Employment Opportunity (EEO-1) report annually. The report is a compliance survey that requires employers to categorize their employment data by race/ethnicity, job category, and gender. To comply with EEO-1 reporting laws, employers must file accurate and timely reports with the federal government. This can be achieved by having a firm grasp of the EEO-1 and utilizing technology that bolsters the reporting process.

Who Must File an EEO-1 Report?

Employers with 15 or more employees must adhere to Title VII of the Civil Rights Act of 1964, but only the following must file an EEO-1 report:

  • employers with 100 or more employees
  • employers with fewer than 100 employees but are controlled, affiliated with or owned by a company with at least 100 employees
  • employers with 50 or more employees and with a federal contract or subcontract equaling $50,000 or more
  • employers who have 50 or more employees and serve as a depository of government funds or as an issuing or paying agent for U.S. Savings bonds.

What Is EEO-1 Data Used For?

EEO-1 data has been used since 1966 by both the Equal Employment Opportunity Commission (EEOC) and the Office of Federal Contract Compliance Programs (OFCCP). The EEOC uses the information to evaluate employment patterns, such as the way in which minorities and females are being represented in the workforce. The OFCCP uses the data to determine which employers should undergo compliance evaluations, such as those with the most likelihood of systematic discrimination.

How Many Forms Must Be Filed Each Year?

Single establishments, which are organizations that conduct business at one address, must file one EEO-1 report (on Standard Form 100) each year. Multiestablishments, which are companies that do business at more than one address, must file multiple EEO-1 reports per year, including Type 2 (Consolidated) report and Type 3 (Headquarters) report.

Where Does Technology Fit In?

Completing the EEO-1 report is just one phase of the process. To ensure employees are categorized according to job, ethnicity/race and gender, employers must track, store and analyze recruitment data – all of which takes valuable time and painstaking attention to detail. Human capital management (HCM) technology takes the stress out of EEO reporting while helping employers comply with other aspects of equal employment opportunity.

The ideal HCM system:

  • contains multiple EEO-1 reports and automatically populates employment data in the format needed for accurate submission.
  • helps you stay on top of EEOC decisions and changes in reporting requirements.
  • allows you to evaluate your company’s hiring approach through EEOC-related metrics. You can, for example, run reports that reveal demographics for certain positions.
  • delivers a secure platform for storing EEO-1 data, which is confidential under federal law in most cases.
  • improves accuracy while reducing organizational exposure to violations, audits and penalties.

When Are EEO-1 Reports Due?

Employment data for the EEO-1 report must be based on one pay period in July, August, or September. For 2016, the report is due by September 30, preferably submitted through the EEO-1 Online Filing System. Note that the EEOC has proposed changes that will require employers to add W-2 earnings and hours worked to the EEO-1 report.

Consequently, starting with the 2017 report, the deadline will be March 31st of the year following the report year. This means that the deadline for the 2017 report is March 31, 2018.

With the proposed revision of the EEO-1 report comes additional responsibilities for employers, making HCM technology even more essential to compliance.