March 5, 2020

Update: EEO-1 Report

A District Court has determined that the collection of Component 2 data for EEO-1 reporting purposes for calendar years 2017 and 2018 has been completed. 

As background, employers subject to EEO-1 reporting requirement imposed by the Equal Employment Opportunity Commission (EEOC) were required to submit a second report containing Component 2 data, consisting of salary information reported on employees’ W-2, together with hours worked.  The Office of Management and Budget challenged the inclusion of the Component 2 data, resulting in a civil action (National Women's Law Center, et al., v. Office of Management and Budget, et al., Civil Action No. 17-cv-2458 (D.D.C.).  The EEOC regulations were stayed prior to the date they were to take effect.  In March 2019, the District Court, who imposed the stay, directed the EEOC to prepare to collect two years of data, due by September 30, 2019.  The EEOC subsequently filed an appeal, however, the Court required continued collection of Component 2 data until sufficient data had been received.  For additional background, see our prior 2019 Benefit Beat articles from October, August, and May editions.

The Court Order issued on February 10, 2020 indicated sufficient pay data has been collected, and no further pay data need be reported.  The EEOC has updated its webpage accordingly to indicate the change and that it is no longer accepting Component 2 pay data for 2017 or 2018.  However, the result of this matter does not impact the continued collection of Component 1 data on the EEO-1 report, which captures employee counts by race and gender. 

The information contained in this article is provided as general guidance and may be affected by changes in law or regulation. This article is not intended to replace or substitute for accounting or other professional advice. Please consult a CBIZ professional. This information is provided as-is with no warranties of any kind. CBIZ shall not be liable for any damages whatsoever in connection with its use and assumes no obligation to inform the reader of any changes in laws or other factors that could affect the information contained herein.

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