What are the EEO-1 Component 2 Filing Requirements?
November 19, 2020at10:30 PM
It’s critical for federal contractors to accurately file reports to the Equal Employment Opportunity Commission (EEOC). Not all companies realize that they need to be compliant with EEOC regulations, and risk penalties including the termination of their federal contract and exclusion from future contracts. Not every company needs to file an EEO-1, even if they’re required to comply with Title VII of the Civil Rights Act.
Luckily, you can outsource compiling and filing the report to an HR consulting service. Your in-house HR department may not have training in the minutiae of government regulation compliance for federal contracts. With help from experienced HR professionals, your EEO-1 reporting and filing can be stress free.
What is the EEO-1 report?
The EEO-1 is a self-reporting survey document submitted to the EEOC to ensure businesses adhere to Equal Opportunity guidelines. Companies must have the following self-reported data about their employees:
Two agencies, the EEOC and the Office of Federal Contract Compliance Programs, use the reports to ensure the enforcement of civil rights in the workplace and to study women and minorities’ representation in various industries.
Who has to file an EEO-1 report?
You might be unsure if your company must submit a report. That’s why working with an HR consulting service is a stress-free way to make sure you’re compliant with government regulations. The criteria can be hard to follow, and they’re more far-reaching than many people realize.
Companies that employ at least 100 employees or are owned by/affiliated with companies that employ at least 100 employees.
Both prime and first-tier subcontractors with over 50 employees and contracts greater than $50,000.
Companies who meet either of those requirements must file a yearly EEO-1 report by May 31. Many HR departments don’t have training in compiling data and submitting the report. It’s worth working with an HR consulting service to ensure your EEO-1 is accurate and your company is satisfying all government regulations.
What is the EEO-1 Component 2?
There are two components of the EEO-1, and not every company has to file both of them. The first component comprises demographic data. The second component takes a snapshot of a pay period from the previous year. It’s crucial companies have the correct data on hand for accurate filing. Component 2 looks at pay data for employees across several metrics:
Demographics, like race/ethnicity and gender
Pay scales, broken into 12 brackets between $19 and $208 thousand
Ten different job categories
Component 2 was suspended in early 2020 for several months before a federal court reinstated the second half of the EEO-1. It’s almost a full-time job to keep track of the due dates for the separate components, what data the two portions of the report need, and who’s even on the hook for reporting.
Rather than take time from your company’s already busy schedule, you can work with a dedicated consulting firm with experience in collating employee information and filling out complex EEO-1 reports.
Schedule a free consultation with InterConnect Human Resource Services today.
It may feel like EEO-1 filing is a long way off, but it’s crucial to have accurate data on hand for your employees for a pay period this year. The EEO-1 Component 2 has different filing requirements than Component 1, and your HR department may not have the training or experience to make sure you’re prepared.
Meeting government regulations for Equal Employment and affirmative action is a simple way to maintain your eligibility for future federal contracts. Don’t let lack of experience with the filing process compromise your standing as a federal subcontractor.