On May 7, 2020, the EEOC announced that due to COVID-19 it will delay opening of the 2019 EEO-1 Component 1 data collection. Currently, the agency anticipates collecting EEO-1 Component 1 data for both 2019 and 2020, in March 2021.
EEO-1 Reports are required to be filed by (1) employers who are subject to Title VII of the Civil Rights Act of 1964 which have 100 or more employees (either individually or inclusive with corporate parents and affiliates) and (2) Federal government prime or first-tier subcontractors who have 50 or more employees and contract for $50,000 or more. As part of Component 1, covered employers must report the race, ethnicity, and sex data of its employees by job category.
In a press release, the agency explained that “delaying the collections until 2021 will ensure that EEO filers are better positioned to provide accurate, valid and reliable data in a timely manner.” This projected timeline is subject to approval from the OMB. Once a precise date is determined, the EEOC will notify all eligible EEO-1, 3, and 5 filers. While the EEOC’s latest announcement provides more time for submitting Component 1 data, it does not mention Component 2 data, the status for which remains uncertain.
Component 2 covered employers must report on workers’ W-2 earnings and hours worked—in addition to the demographic information and job category data already being collected. As detailed in earlier alerts, the Office of Management and Budget (OMB) previously issued a stay on Component 2 reporting, which was vacated by the U.S. District Court for the District of Columbia on March 4, 2019. Later, the court approved the EEOC’s September 30, 2019 deadline for submission of employee pay data. To date, the EEOC has completed the collection of 2017 and 2018 pay data. However, in September 2019, the EEOC announced it would not renew its request to collect Component 2 data.
In addition to delaying the EEO-1 Component 1 report, the EEOC also seeks to postpone opening the 2020 EEO-3 (Local Union Report) and EEO-5 (Elementary-Secondary Staff Information Report) collection to January 2021.
Ballard Spahr’s Labor and Employment Group advises employers on compliance with EEO-1 reporting. The Group also routinely advises employers in all aspects of employee relations, including monitoring changes in the law and assisting clients in navigating and preparing for compliance with new regulations.
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