Signed in 1965 and amended twice, EO 11246 prohibited federal contractors from discrimination in employment and mandated affirmative action programs
President Donald Trump’s recission of a 1965 Executive Order (EO) raised questions about how the U.S. Department of Labor (DOL) would handle open investigations, pending cases, audits and complaints, as well as whether active conciliation agreements would be enforced.
The answer came on Jan. 24, 2025 when Acting Secretary of Labor Vincent N. Micone III directed DOL employees to cease all investigative and enforcement activity under rescinded EO 11246.
Those covered by Secretary’s Order 03-2025 include employees of the Office of Federal Contract Compliance Programs (OFCCP), the Office of Administrative Law Judges and the Administrative Review Board. Historically, OFCCP has enforced the portion of EO 11246 that prohibited federal government contractors from discriminating against applicants or employees on the basis of their protected class traits such as race, sex, or religion.
The order states that DOL no longer has authority under rescinded EO 11246. As such, all pending cases, conciliation agreements, investigations, complaints, and any other enforcement-related or investigative activity relating to EO 11246 are closed immediately.
DOL employees are ordered to notify all regulated parties with open reviews or investigations by Jan. 31, 2025 that the EO 11246 component of their matter is closed and that the Section 503 and VEVRAA components of any review/investigation are being held in abeyance pending further guidance.
Federal contractors or subcontractors with questions about the order or how it affects their policies, conciliation agreements or open audits, should reach out to legal counsel for advice.
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