Affirmative Action Requirements for Banks

Do you know your affirmative action obligations? Learn how your institution must comply with laws and regulations.

Under the Biden Administration, the OFCCP has ramped up auditing financial institutions to ensure they adhere to several affirmative action obligations, including those under:

• Executive Order 11246 (affirmative action for women and minorities)
• Section 503 of the Rehabilitation Act of 1973 (affirmative action for individuals with disabilities)
• VEVRAA (affirmative action for protected veterans)
• Executive Order 13672 (prohibiting discrimination on the basis of sexual orientation and gender identity)

You remain obligated to meet these legal requirements. Now is a perfect time to revisit the laws and examine your workforce and practices to ensure compliance, allowing your institution to avoid or at least smoothly pass an audit. Failing to comply can lead to government fines, employee lawsuits and payouts, and mandatory changes.

• Why are banks and credit unions subject to affirmative action obligations?
• What are your compliance obligations under current laws and regulations?
• What differs for banks and credit unions with 50 or more employees?
• What specific steps do the Section 503 and VEVRAA rules require?
• What are the risks of failing to comply with affirmative action rules?
• Which banks does OFCCP audit and why?