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Welcome to Compliance Day

Welcome to Compliance Day. Nita Beecher Mercer Networks April 18, 2012. Today’s Schedule. 8:30 am Introduction and overview of SWARM meeting 9:00 am David Fortney, Fortney & Scott, to discuss the latest from the federal agencies 10:00 am Update on Sections 503 and 4212 proposals

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Welcome to Compliance Day

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  1. Welcome to Compliance Day Nita Beecher Mercer Networks April 18, 2012

  2. Today’s Schedule 8:30 am Introduction and overview of SWARM meeting 9:00 am David Fortney, Fortney & Scott, to discuss the latest from the federal agencies 10:00 am Update on Sections 503 and 4212 proposals 10:30 am Break 10:45 am Louise Sheppard and Nora Vele on best practices on outreach to veterans and the disabled 12:00 am Lunch 1:15 pm Member Roundtable 2:30 pm Meeting ends Next meeting July 17-18 @ The Boeing Company Chicago

  3. Overview of SWARM • Pat Shiu • Important to see business problems • Believes in partnership with ILG so agency can communicate with business • Lines of communication need to be open • Believes major function to be of use to contractors • Trying to leave agency in better shape than when she came in • Focus to have better and more organized audits and to be more consistent • Agency is worker’s protection agency

  4. Overview of SWARM • Shiu on regulatory reform • Long overdue • Will consider thoughtful comments from contractors • Good faith efforts not enough but have value • Upset when sees negative comments in blogs or press • Not productive to “waste time” quelling rumors or dispelling myths • Final rules to be issue “shortly” • Believes negative response to regulations coming from the lawyers as HR likes what she is doing

  5. Overview of SWARM • David Cohen • OFCCP under Bush systemic discrimination vs. affirmative action under Clinton • ACE under Obama both systemic and AAP • Moving from focus on minority vs. nonminority to “sub racial” analysis • Hiring still biggest $$ • FedEx Ground $30M for hiring discrimination against men, women, blacks, whites, Native Americans, Hispanics, Asians • 23 facilities

  6. Overview of SWARM • David Cohen continued • Access cases and impact of U. S. Space decision • Conciliation agreement vs. closure letter • Varies widely by region • Most CAs now based on outreach issues (58 vs. 26 for recordkeeping) • Compensation • 2006 Comp Guidance still law • Only 1 pay case in 2011 (AstraZeneca) • Pam Cuokos is building protocols • Most 2011 cases are more like EPA than Title VII

  7. Overview of SWARM John Fox • Audits changing • Fewer audits and less concern over number of audits • Believes Obama is using OFCCP to win women’s votes • Compensation discrimination • Sex discrimination guidance • Pregnancy discrimination focus • United Space “fiasco” for contractors • OFCCP now using as carte blanc in desk audits • Judge supported agency argument that anything they want is relevant

  8. Overview of SWARM • John Fox • Sees changes in tone of audits, contractors feeling bullied and lack of transparency by agency • Argues that OFCCP no longer discussing with contractors results just saying show me the money • Differences between regions greater • Agency now “flyspecking AAPs” • Cross checking payroll data against hires • Doing during desk audit what used to do during onsite • Compensation • “Drilling a dry hole” • Spent $1B investigating for $10M in pay discrimination

  9. Overview of SWARM • John Fox • FedEx Ground case • Poor documentation • Failure to control applicant flow • 300% turnover • One of cheapest cases ever because only asked for 4 weeks of mitigation • Tyson got 26-50 weeks

  10. OFCCP • Bradley Anderson, new Midwest Regional Director, said following would keep OFCCP @ bay • CEO/C Suite have priority for EEO • EO/AA accountability @ top • Monitoring and self audit reviews • Consistent personnel policies and guidelines • Proactive efforts in diversity, recruitment, wide net for job listing, anti-harassment program • Implement appropriate selection policy • Create/implement/monitor/assess affirmative action plan numbers • Understand reasonable accommodation concept

  11. Section 503 and Section 4212 • John Fox and David Cohen believe VEVRAA will be finalized but Section 503 will not until a second Obama term • If Obama loses Fox believes Section 503 final rules could be finalized if published prior to December 19 • Fox not sure why Section 4212 regulations not finalized already • Pat Shiu told ILG representatives that she wants to change culture around disabilities so applicants and individuals no longer feel stigmatized • Final Section 4212 will also overturn Frito-Lay • Contractors will be required to provide updated data to OFCCP

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