EEOC Updates
EEOC Proposes an End to EEO-1 Reporting and Rescission of Voluntary Affirmative Action Guidance
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Discussion
In May and June 2026, the Equal Employment Opportunity Commission (EEOC) took several actions that, taken together, reflect a significant shift in the agency’s approach to employer reporting obligations and voluntary affirmative action practices. Key aspects of the EEOC’s proposals are summarized below.
Proposed Elimination of EEO-1 Reporting. On May 14, 2026, the EEOC submitted a proposal to eliminate EEO-1 reporting and related recordkeeping obligations. Under the current framework, private employers with 100 or more employees and certain federal contractors with at least 50 employees are required to annually submit workforce demographic data broken out by job category, sex, and race/ethnicity. The proposal would also eliminate related reporting and data collection obligations under Title VII, the Americans with Disabilities Act (ADA), the Genetic Information Nondiscrimination Act (GINA), and the Pregnant Workers Fairness Act (PWFA).
Proposed Rescission of Voluntary Affirmative Action Guidance. On May 27, 2026, the EEOC submitted a separate proposal to rescind 29 C.F.R. Part 1608, which reflects its 1979 interpretive rule on voluntary affirmative action under Title VII. The current guidance outlines the circumstances under which employers may voluntarily adopt affirmative action measures to address workforce imbalances and describes when an employer may rely on that guidance as a potential defense in Title VII litigation. If rescinded, employers would lose access to this interpretive framework and the associated litigation safe harbor. It is important to note, however, that a rescission would not amend Title VII itself, nor would it overturn the U.S. Supreme Court decisions recognizing that Title VII may not prohibit certain voluntary affirmative action measures in limited circumstances.
Employers should keep in mind that neither proposal is final. Both must undergo review by the Office of Information and Regulatory Affairs (OIRA) before being published in the Federal Register for public comment, after which the agency must review comments and potentially revise each rule before it can be finalized. This process is expected to take several months.
Federal Agency EEO Reporting Also Scaled Back. Separately, on June 3, 2026, the EEOC issued interim instructions under its Management Directive 715 (MD-715) framework, which has governed federal agency EEO reporting since 2003, significantly curtailing what federal agencies are required to report. While these instructions apply directly to federal agencies rather than private employers, they reflect the same policy direction as the EEO-1 proposal and signal the EEOC’s broader approach to EEO reporting and enforcement under the current administration.
What This Means for EEO-1 Filers Now. Because the EEO-1 proposal is still in the early stages of the regulatory process, the EEOC may still open the reporting portal for 2025 data in the coming weeks. Covered employers should continue preparing to file as if the reporting window will open on its usual timeline. Employers should also be aware that even if federal EEO-1 reporting is ultimately eliminated, applicable state-level demographic and pay data reporting obligations would remain in effect.
Action Items
- Continue preparing for EEO-1 filing, as applicable.
- Continue to comply with state-level demographic and pay data reporting obligations, which remain unchanged regardless of federal proposals.
- Review existing voluntary affirmative action plans and practices with legal counsel.
- Monitor ongoing developments in the rulemaking process.
- Have appropriate personnel trained on applicable requirements.
EEOC Announces New National Enforcement Plan
On June 4, 2026, the EEOC announced that it has approved and released a new National Enforcement Plan (NEP), to replace the Biden administration’s FY 2024–2028 Strategic Enforcement Plan. The NEP signals a significant shift in the agency’s enforcement priorities, emphasizing intentional discrimination (e.g., disparate treatment) claims over disparate impact claims, which the plan directs the agency to eliminate from investigations and litigation “to the maximum degree possible.” The NEP specifically identifies DEI policies, programs, and practices as an enforcement focus, including race- or sex-based hiring quotas, diverse slate and hiring panel policies, diversity statements required of candidates, and compensation tied to diversity goals. Additional priorities include hiring preferences for foreign national workers and cases that will clarify the scope of recent Supreme Court decisions on majority-group bias claims, sex discrimination, voluntary affirmative action programs, religious accommodation, and the Pregnant Workers Fairness Act. Employers should review workplace policies and practices, particularly any DEI-related programs, with legal counsel for compliance with both federal and applicable state anti-discrimination laws. Employers should keep in mind that state disparate impact protections will continue to apply regardless of the federal shift in enforcement posture.
Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase