Good News, You Get Cake … But No Icing

Since March we have taken on the self-imposed duty to keep you updated on the ever changing status of the EEO-1 data collection. So much so that by now, you’re probably reading this post thinking “what now?”. You may even be feeling hopeless. Because the EEOC requiring something else from employers just weeks before the deadline has to amount to bullying or some sort of harassment, right? Well, you can take a deep breath! Unlike previous posts I come bearing good news … sort of.

On Wednesday, the EEOC issued a notice stating that the formula they used to estimate how much it would cost employers to submit Component 1 and 2 data was incorrect. In fact, the EEOC underestimated the cost to employers and the burden it would place on the EEOC to collect Component 1 and 2 data. Now, I’ve never been a person to brag, though my friends would say otherwise, but this seems like a perfect “we told you so” moment. According to the notice, the EEOC has decided not to seek renewal of the Component 2 requirement of the EEO-1 until they’ve had time to process the 2017 and 2018 Component 2 data to determine if the benefit collected from the data outweighs the burden it places on employers. In other words, the EEOC is suspending the collection of the Component 2 data for 2019 and beyond until further notice. According to administrative procedures, the notice will be subject to a 60-day public comment period.

As in most situations, there is always a “but.” Although the EEOC is suspending the collection of Component 2 data for 2019 and beyond, you are not off the hook for the September 30, 2019 deadline. That is, the Component 2 data for 2017 and 2018 is still due on September 30. Also, the notice stated that the EEOC plans to continue to collect the Component 1 data for the next three years. What does this mean? After September 30, 2019, EEO-1 data collection may go back to business as usual.

Hopefully, this small bit of good news will get you through the weekend and through any painful but inevitable loss that many of us in Ohio are accustomed to feeling this time of year. If you have any questions about this update or questions about how this affects your business, reach out to your labor and employment attorney. If you’ve gotten to the end of this post and have no clue what I’m talking about or would like a refresher, check out our most recent EEO-1 update: Are You Ready For Some EEO-1?. As usual, we will continue to keep you updated on any EEO-1 changes.