Who needs to draft an affirmative action plan?

Author: Linda Segall, Segall Enterprises

As a general rule of thumb, employers with government contracts must have in place an affirmative action plan (AAP). More specifically, non-construction contractors (or subcontractors) having 50 or more employees and contracts of $50,000 or more (or a series of contracts expected to total $50,000 or more), as covered by Executive Orders 11246 and 11375, must develop and maintain written affirmative action plans.

Employers with federal construction contracts valued at $10,000 or more also are obligated to have an AAP in place; however, the goals for women and minorities are established by the Office of Federal Contract Compliance (OFCCP) in deference to the fluid nature of the construction industry and the plan need not be written.

Additionally, employers with $15,000 in contracts must take affirmative action for individuals with disabilities, according to the provisions of Section 503 of the Rehabilitation Act of 1973. Likewise, employers with contracts of $150,000 or more are required to take affirmative action on behalf of veterans who served during the Vietnam era, according to the Vietnam Era Readjustment Assistance Act of 1974 (VEVRAA). +41 C.F.R. § 60-250.4.

In 2015, the OFCCP adjusted the monetary thresholds for affirmative action coverage under both VEVRAA and Section 503. Although the monetary adjustment is not reflected in the regulations, OFCCP enforces the new threshold amounts.