Is Your Business Prepared for the New EEO-1 Report?

by Nick Koscielniak on 05 Jun 2017

The U.S. laws that protect against employment discrimination are going to undergo an addition in the coming new year. The U.S. Equal Employment Opportunity Commission (EEOC) is the agency in charge of this change. Through outreach programs, education, as well as technical assistance, the EEOC actively works to weed out discrimination before it can take root. The agency protects employees from discrimination in the workplace through enforcing federal law. Those protections cover, but are not limited to, the following:

Hiring firing promotions wages benefits

Since the EEOC enforces these laws with employers that have at least 15 employees, the effects of this change could affect a lot of businesses. It is important to understand the change to remain with in regulations.

The EEO-1 report is a federally mandated survey that requires employers to report on their employees make up. The survey covers race, ethnicity, and gender.

Starting in 2017, a new feature will be added to the EEO-1 Report. The survey will also require employers to submit summary pay data. The EEOC released a revised version of the EEO-1 Report that lists the new requirement of submitting summary pay data. Due to the change, there have been a few questions from business.

Who is required to file the EEO-1 Report?

Employers that have 100 or more employees. This includes federal contractors that have 100 or more employees. For companies that have 100 or more employees total through ownership of or through a corporate affiliation with another company are also required to file the EEO-1 Report.

How do I report summary pay data?

Employers will gather the following information as of September 30th, 2017: Number of full and part time employees in each EEO-1 job category The total number of hours worked by all employees in the EEO-1 job categories that year The number of hours worked for non-exempt employees For non-exempt employees, Employers have the option of reporting the actual number of worked or 20 hours per week for a part-time employee or 40 hours per week for a full-time employee.

What is the deadline to submit the data for the EEO-1 report?

The deadline is March 31st, 2018 for the 2017 report.

How is this data used?

The EEOC states that this data will be used to provide a better understanding of women and minorities in the workforce as well as to analyze their pay patterns and employment. The data will also be used to enforce civil rights. This data will be kept confidential under federal regulations. You can find a complete explanation of the data’s uses from the EEOC website.

How will the new EEO-1 Report affect the selected employers?

Employers that are required to file the EEO-1 Report may have to take on a larger administrative task through data collection, organization, and filing. The EEOC has created work estimates from the new obligation. The new tasks could create hours of work with estimates for firm-level functions at 8 hours per filer for Component One and over 15 hours per filer for both Component One and Two combined. There is an estimate of an action hour per report for functions at an establishment level.

Employers affected by the EEOC should consider taking on measures that give them the means to track the appropriate data and create reports by the new year.

If you want to learn more about the new changes and the required data, the EEOC has all the information you need about the EEO-1 Report as well as its requirements along with an FAQ.