December 16 2011 Copyright 2011 Business Research Services Inc. 301-229-5561 All rights reserved.

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Labor Proposes Goal for Hiring Disabled Workers

In an expansion of affirmative action regulations, the Labor Department plans to require federal contractors to set a 7% hiring goal for people with disabilities.

Announcing the proposed rule in the Dec. 9 Federal Register, Labor said the goal is not a hiring quota, but “an equal employment opportunity objective.” The department said “establishing a goal would create more accountability within the contractor’s organization and might be key to ensuring that the goal is achieved.”

This is the first time the department has set a numerical goal covering all federal contractors, according to information provided by a spokeswoman. There are numerical goals for women and minorities only in federally funded construction contracts.

Labor said the rule is needed because the official unemployment rate for people with disabilities stands at more than 13%, compared to less than 9% for non-disabled workers.

“For nearly 40 years, the rules have said that contractors simply need to make a ‘good faith’ effort to recruit and hire people with disabilities. Clearly, that’s not working,” said Patricia Shiu, director of Labor’s Office of Federal Contract Compliance Programs. “Our proposal would define specific goals, require real accountability and provide the clearest possible guidance for employers seeking to comply with the law. What gets measured gets done. And we’re in the business of getting things done.”

Contractors would be encouraged to “provide priority consideration to individuals with disabilities in recruitment and/or hiring.” The rule would require contractors to publicize their job openings through organizations that aid people with disabilities and report to the government on their recruiting efforts.

Violations would be punishable by measures ranging from withholding progress payments to debarment from contracting.

The rule is RIN number 1250-AA02. Comments are due Feb. 7.


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