Equal Opportunity
FAR 52.222-26 requires federal contractors to actively prevent discrimination and take affirmative action in all employment practices, with strict compliance and reporting obligations.
Overview
FAR 52.222-26, Equal Opportunity, implements the requirements of Executive Order 11246 and mandates that federal contractors and subcontractors do not discriminate in employment based on race, color, religion, sex, sexual orientation, gender identity, or national origin. The clause applies to contracts and subcontracts exceeding $10,000 (in aggregate over 12 months), with certain exceptions for work performed outside the U.S. and for religious organizations. It requires contractors to take affirmative action, post required notices, include the clause in subcontracts, and cooperate with compliance evaluations and investigations.
Key Rules
- Non-Discrimination and Affirmative Action
- Contractors must not discriminate and must take affirmative action in all employment practices, including hiring, promotion, compensation, and training.
- Posting and Notification Requirements
- Contractors must post government-provided notices and include equal opportunity statements in job advertisements.
- Compensation Transparency
- Employees/applicants cannot be discriminated against for discussing or disclosing compensation, with limited exceptions.
- Reporting and Recordkeeping
- Contractors must file EEO-1 reports and provide information as required by the OFCCP and Secretary of Labor.
- Access and Compliance
- Contractors must allow government access for compliance evaluations and investigations.
- Subcontractor Flowdown
- The clause must be included in all non-exempt subcontracts and purchase orders.
- Sanctions for Noncompliance
- Noncompliance can result in contract termination, suspension, or debarment.
Responsibilities
- Contracting Officers: Ensure inclusion of the clause, provide required notices, and monitor compliance.
- Contractors: Implement non-discrimination and affirmative action policies, post notices, file required reports, cooperate with investigations, and flow down the clause to subcontractors.
- Agencies: Conduct compliance evaluations, investigate complaints, and enforce sanctions if necessary.
Practical Implications
- This clause is central to ensuring equal employment opportunity in federal contracting. Contractors must have robust HR policies, maintain documentation, and be proactive in compliance to avoid severe penalties. Common pitfalls include failure to post notices, incomplete recordkeeping, or not flowing down requirements to subcontractors.