Major Changes to OFCCP Regulations
- 13 hours ago
- 5 min read
Summary of This Post
The Office of Federal Contract Compliance Programs (OFCCP) has released major changes to the agency's regulations. The most important changes involve the agency's regulations regarding individuals with disabilities. Federal contractors and subcontractors should be prepared to take the following actions on September 21, 2026:
Stop collecting self-identification forms regarding disability at the pre-offer stage of the employment process
Cease the use of the 7% utilization goal for individuals with disabilities
Revise affirmative action plans for individuals with disabilities to omit previously required statistical analyses
Continue collecting self-identification forms regarding protected veteran status at both the pre-offer and post-offer stage of the employment process
Changes to OFCCP Regulations
On August 21, 2026, OFCCP released final versions of major changes the agency is making to the regulations for the laws the agency enforces.
OFCCP is making major revisions to the regulations regarding Section 503 of the Rehabilitation Act (Section 503). Section 503 requires federal contractors and subcontractors to take affirmative action to employ individuals with disabilities.
OFCCP is making minor revisions to the regulations regarding the Vietnam Era Veterans Readjustment Assistance Act (VEVRAA). VEVRAA requires federal contractors and subcontractors to take affirmative action to employ certain classes of veterans.
OFCCP is eliminating the regulations regarding Executive Order 11246, This executive order prohibited discrimination against applicants and employees based on race, color, religion, sex, sexual orientation, gender identity, or national origin.
The changes to the agency's regulations will become effective on September 21, 2026. The agency's final regulations conform to the proposed regulatory changes that the agency issued on July 1, 2025.
Section 503 Regulation Changes
As noted above, the most important changes released by OFCCP are the revisions to the Section 503 regulations. Among these changes are the following:
Removal of the requirement to invite applicants and employees to self-identify as an individual with a disability.
Removal of the requirement to establish a 7% utilization goal for individuals with disabilities and to measure progress towards meeting this 7% utilization goal.
Removal of the requirement to conduct a data analysis on applicants and hires regarding disability status and to maintain records regarding this analysis for three years.
Removal of the requirement to include information on the data analysis when conducting an assessment of outreach efforts.
Inclusion of the rules of practice for administrative proceedings currently found in the regulations regarding Executive Order 11246.
The revisions to OFCCP's Section 503 regulations would effectively end all data collection and reporting requirements regarding individuals with disabilities.
The removal of the requirement to invite applicants and employees to self-identity disability status is surprising in light of the recent renewal of the form that OFCCP requires employers to use in collecting this information. However, OFCCP had clearly stated in its proposed regulations that it believed collection of data on disability status at the pre-offer stage of the employment process was illegal under the Americans with Disabilities Act (ADA).
VEVRAA Regulation Changes
The revisions to the VEVRAA regulations are much more limited in scope than the changes to the Section 503 regulations. The primary change to these regulations is the inclusion of the rules of practice currently found in the Executive Order 11246 regulations. There are also revisions in the VEVRAA regulations to remove references to Executive Order 11246 and update the jurisdictional threshold regarding VEVRAA.
Unlike the Section 503 regulations, the VEVRAA regulations will continue to include data collection and reporting requirements. Federal contractors and subcontractors covered by VEVRAA must continue to provide opportunities both pre- and post-offer for individuals to self-identify as a protected veteran. Federal contractors and subcontractors must also continue to conduct a data analysis on applicants and hires regarding protected veteran status.
Executive Order 11246 Regulation Changes
Executive Order (EO) 11246 was rescinded by Executive Order 14173. EO 14173 was issued on January 21, 2025. With the rescission of EO 11246, the regulations associated with the executive order were unenforceable. OFCCP's action to remove these regulations was effectively a housekeeping effort to remove obsolete regulations.
The one portion of the EO 11246 regulations that will remain in effect are the rules of practice for administrative proceedings found in 41 CFR 60-30. OFCCP has removed references to the executive order from 41 CFR 60-30. However, the agency has explained that it intends to leave much of 41 CFR 60-30 in place until the changes to the Section 503 and VEVRAA regulations are fully implemented. Once that occurs, the agency intends to withdraw the regulations found at 41 CFR 60-30.
Actions for Federal Contractors and Subcontractors
There are a number of actions associated with the changes to OFCCP's regulations that federal contractors and subcontractors should take.
On September 21, 2026, federal contractors and subcontractors should no longer universally collect self-identification forms regarding disability from applicants at the pre-offer stage of the employment process. Some federal contractors and subcontractors may be required to collect this information from pre-offer applicants because of provisions in contracts with state or local units of government. These employers should contact legal counsel to determine how OFCCP's regulatory changes and the provisions in the ADA affect such data collections.
On September 21, 2026, federal contractors and subcontractors should no longer use OFCCP's 7% utilization goal for individuals with disabilities as a way to assess the effectiveness of their affirmative action efforts.
When affirmative action plans for individuals are next updated, federal contractors and subcontractors must revise these affirmative action plans to reflect OFCCP's regulatory changes.
Federal contractors and subcontractors must continue to collect self-identification forms regarding protected veteran status from applicants at both the pre-offer and post-offer stage of the employment process.
Federal contractors and subcontractors should ensure they are no longer preparing affirmative action plans or otherwise making efforts to effectuate Executive Order 11246. EO 14173 gave employers a grace period until April of 2025 to wind down activities associated with EO 11246. The rescission of the EO 11246 regulations removes any rationale for employers to implement EO 11246.
There are two additional issues for employers to consider. First, while OFCCP has stated that federal contractors and subcontractors should no longer gather disability information from applicants, it is not clear whether employers should gather disability data from employees. In the preamble to its Section 503 regulatory revisions, OFCCP references provisions in the ADA that would allow collection of disability status from employees under defined circumstances. Employers should contact legal counsel about how and when disability information should be collected from employees. This is especially the case for employers that have contracts with state or local units of government that request data on the disability status of employees.
Second, on September 21, 2026, OFCCP will withdraw the form described above that the agency had developed for federal contractors and subcontractors to use in gathering disability information from applicants and employees. If employers do choose to gather disability information from employees, it is not clear whether the format found in OFCCP's current self-identification form can or should be used for these purposes.
