OFCCP Expands Enforcement with 12 Additional Megaproject Compliance Reviews

On October 6, 2023, the Office of Federal Contract Compliance Programs (OFCCP) declared its plans to conduct an additional dozen compliance reviews of construction megaprojects. This was announced alongside a previously released list of another 12 projects scheduled to undergo identical scrutiny. These 24 compliance reviews are a part of the OFCCP’s Mega Construction Project Program, also known as the Megaproject Program, which was initially unveiled on March 14, 2023.

As an enduring feature of the OFCCP’s strategic enforcement initiatives, the Megaproject Program focuses on ensuring that construction contractors involved in ‘megaprojects’ – high-cost, complex, and often lengthy infrastructure projects – adhere strictly to all relevant non-discrimination and affirmative action requirements. The OFCCP enforces these legal requirements, primarily through compliance reviews-a comprehensive evaluation where an OFCCP compliance officer investigates a contractor’s employment practices and premises.

The recent announcement thus implies that the OFCCP will widen its scope of oversight considerably. The comprehensive inspection of an additional 12 projects indicates an intensifying pursuit of enforcement within the construction sector–a move that the industry must respond to with ensuring meticulous compliance with all OFCCP regulations.

It is paramount that companies in the construction sector keep a close eye on developments and ensure that they are well-prepared for possible OFCCP audits. Thorough self-audits, focused training of employees and managers and close consultation with legal experts are critical steps for the organizations involved in these mega construction projects in order to be in compliance.

An important note is that the agency, from time to time, provides a ‘focused review’ list. Contractors that find themselves on this list are slated to undergo compliance checks to make sure they are fulfilling their EEO obligations.

The latest announcement serves as a reminder that, now more than ever, companies involved in large construction projects should ensure they have stringent measures in place to comply with the OFCCP’s stringent regulatory landscape.

You can find more details on this development in this article by DCI Consulting on JDSupra.com.