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The Office of the Federal Contract Compliance Programs (OFCCP) Has Been Terminated. Learn how it Will Impact Federal Contractors!
The Trump Administration’s recently passed Fiscal Year 2026 budget eliminates all funding for the Office of Federal Contract Compliance Programs (OFCCP). The “Big Beautiful Bill” dismantles the agency and transfers its remaining responsibilities to other federal offices, continuing the Administration’s significant changes to federal contractor oversight.
Established in 1965 and housed within the U.S. Department of Labor, the OFCCP has been responsible for ensuring that federal contractors comply with affirmative action and nondiscrimination obligations under Executive Order 11246, Section 503 of the Rehabilitation Act, and the Vietnam Era Veterans' Readjustment Assistance Act (VEVRAA). These programs required proactive affirmative action plans and systemic reviews—not merely responses to individual complaints.
However, the FY2026 budget calls for zeroing out OFCCP’s funding, effectively abolishing the agency. The move follows the January 2025 issuance of Executive Order 14173, which revoked EO 11246’s affirmative action mandates. Since then, OFCCP operations have been scaled back drastically—from approximately 479 staff members across 55 offices to fewer than 50 employees in just four regional locations.
Areas Covered in the Session:-
Why Should You Attend?
Under the Administration’s plan, the limited remaining responsibilities of the OFCCP would be transferred elsewhere: Section 503 disability discrimination enforcement would move to the Equal Employment Opportunity Commission (EEOC), while VEVRAA oversight would be absorbed by the Veterans’ Employment and Training Service (VETS), another arm of the Department of Labor. Congressional action will be necessary to effectuate aspects of the reorganization.
Who Should Attend?