Takeaways
- Beginning 4/15/25, federal construction contractors will need to submit monthly employment data (using the reinstated CC-257 Report), including details on the number of employees and work hours by race/ethnicity and gender.
- Gathering and preparing the relevant data each month may prove challenging for contractors with employees working on multiple projects.
- Construction contractors should start to prepare by assessing their compliance programs and data reporting capabilities.
Related links
- Monthly Employment Utilization Report (CC-257 Report)
- Frequently Asked Questions on OFCCP’s Monthly Employment Utilization Report (CC-257 Report)
- OFCCP’s Proposal Requiring Construction Companies to Submit Monthly Employment Utilization Report
- Monthly Employment Utilization Report (CC-257) Supporting Statement
- OFCCP Announces Mega Construction Project Initiative; Focus on Construction Contractors Continues
Article
The Office of Federal Contract Compliance Programs (OFCCP) announced on Nov. 25, 2024, that it is reinstating a monthly employment data reporting requirement for construction contractors beginning April 15, 2025.
OFCCP will require businesses with a federal or federally assisted contract or subcontract to submit a report to the agency by the 15th of each month nearly 30 years after discontinuing the CC-257 Report. The report will include detailed data on the contractor’s number of employees and work hours by race/ethnicity and gender.
In the Frequently Asked Questions section of OFCCP’s CC-257 dedicated information page, the agency explained it will use the monthly report to further its “mission of protecting workers in the construction trades, as employment discrimination continues to be a problem in the construction industry.” OFCCP said the report will allow the agency to strengthen both enforcement and compliance assistance.
OFCCP proposed reinstating CC-257 in February 2024. Its Supporting Statement indicated that the report would allow the agency to “better identify if there are potential hiring or job assignment issues that warrant further investigation during a compliance evaluation.”
The Supporting Statement also noted that failure to provide timely reports may result in a violation and may subject contractors to sanctions. The agency suggested that failure to submit may be used as a factor for scheduling contractors for compliance reviews.
Key Requirements
The new reporting requirement will include data on the number of employees and trade employees’ hours worked by race and gender within each Standard Metropolitan Statistical Area (SMSA) or Economic Area (EA) each month. For contractors with employees working on multiple projects, either within a SMSA/EA or across several areas, gathering and preparing the relevant data each month may prove challenging.
Contractors must also include whether the work performed is designated by OFCCP as a Megaproject. In light of the millions in new funding for construction projects under the Infrastructure Investment and Jobs Act, the agency has revived and updated its Megaproject Program, focusing on projects of at least $35 million. OFCCP intends to be involved with covered contractors and subcontractors at the outset of a Megaproject, including regular meetings between OFCCP, contractors, and other stakeholders.
Other CC-257 Report requirements include the contractor’s unique entity identifier (UEI) or Data Universal Numbering System (DUNS) number, both of which OFCCP uses to identify entities doing business with the federal government, and a list of the federal agencies funding their projects.
According to OFCCP, the preferred method for submission is an Excel version of the report emailed to OFCCP. The agency encourages contractors with technical questions to contact its Help Desk: online intake form, email address, or phone number.
The agency intends to provide additional compliance assistance, including conducting outreach to construction contractors and holding a webinar, in early 2025.
Next
Certainly, any new compliance requirements may be subject to change by the Trump Administration. While it is not clear whether the Trump Administration will maintain this new requirement, now is the time for construction contractors to determine where their compliance programs and data reporting capabilities may need to be refreshed and begin working to fill in any compliance or reporting gaps.
Should you have any questions regarding compliance with this and other OFCCP requirements, please reach out to a Jackson Lewis attorney for assistance.
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