Subcontractors Gear Up for More Bias Audits as U.S. Plans Rule

Federal subcontractors are bracing for Biden administration plans that would allow the U.S. Labor Department to more easily target them for audits aimed at exposing workplace discrimination and affirmative action violations.

The DOL’s Office of Federal Contract Compliance Programs regulates employers that have “prime” contracts to provide supplies and services to the government. However, the agency has typically been less active when it comes to auditing companies that receive subcontracts to help perform that work.

The Biden administration’s fall regulatory agenda included plans for a proposed rule that would require prime contractors to notify the OFCCP when they award subcontracts, ...