Valerie Wilson, Director of the Program on Race, Ethnicity and Economy at the Economic Policy Institute, joined the America's Work Force Union Podcast to discuss President Donald Trump's recent executive order to gut the Office of Federal Contract Compliance Programs. Wilson outlined the order's impact on anti-discrimination efforts, its historical context and potential consequences for workers.
Trump's Executive Order 14173 effectively eliminated OFCCP's oversight of federal contractors regarding affirmative action and equity programs for women and racial minorities. Wilson stressed that this action dismantles six decades of progress, dating back to President Lyndon B. Johnson's establishment of these protections in 1965. While enforcement for veterans and people with disabilities remains, she said the order removes crucial safeguards for groups that have historically faced workplace discrimination. Wilson noted that between 2014 and 2024, OFCCP investigations covered 10.3 million workers, resulting in financial relief for over 250,000 workers totaling $260 million and new job opportunities or salary adjustments for approximately 23,000 workers.
She emphasized that the executive order goes beyond halting enforcement; it actively discourages companies from implementing diversity, equity and inclusion programs. Wilson explained how federal contractors must now attest that they don't have DEI programs in place, creating a chilling effect on efforts to promote workplace equality. This approach, she said, not only threatens fairness and justice but also undermines the business benefits of diverse workforces, particularly in public-facing roles where varied perspectives enhance service quality.
While a future administration could theoretically reverse this decision, Wilson acknowledged the reestablishment of OFCCP would be a complex process. She said it would require issuing a new executive order, navigating public comment periods, restaffing the agency and securing new congressional appropriations. Wilson added that until the office is re-established, workers will lose a proactive safeguard against discrimination, as OFCCP's role involved regular investigations to confirm compliance rather than relying on individual complaints.
To learn more about the impact of this executive order on worker protections, listen to the full episode of the America's Work Force Union Podcast.
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