Takeaways
- The EEOC has proposed eliminating EEO-1 and other federal workforce reporting requirements and related recordkeeping obligations for covered employers.
- The EEOC held a public hearing on 08.11 where the majority of commenters opposed the proposed rule.
- Even if the rule is finalized, the EEOC can request records in investigations, and employers continue to be subject to record-preservation obligations and any applicable state or local requirements.
- Comments are due 08.24.26.
Related link
Article
For years, the Equal Employment Opportunity Commission (EEOC) has required covered employers to annually report race and sex demographic data about their employees on EEO-1 reports. On July 23, 2026, the EEOC published a Notice of Proposed Rulemaking (NPRM) proposing a rule to eliminate the long-standing federal EEO workforce reporting requirements. If finalized, the rule would end EEOC’s EEO filings and data recordkeeping obligations. Comments on the proposal are due by Aug. 24, 2026.
For private employers, the most significant changes involve the EEO-1 Component 1 report. Covered employers currently provide annual workforce demographic data organized by job category, race or ethnicity, and sex to the EEOC on the report. The filing requirement applies to private employers with at least 100 employees and certain federal contractors with at least 50 employees.
The agency also proposes to remove related rules addressing exemptions, penalties, enforcement proceedings, and records created to prepare the reports.
On Aug. 11, 2026, the Commission held a public hearing to gather feedback from stakeholders on its proposal. Twenty-two individuals representing various organizations and interested parties presented comments, with the majority opposing the proposed rescission.
EEOC’s Rationale
The EEOC maintains that EEO-1 reports are inconsistent with Title VII of the Civil Rights Act and potentially unconstitutional and that their data requests are neither narrowly tailored nor necessary to enforce anti-discrimination laws.
The agency further maintains that Title VII does not require it to impose reporting obligations and that it may eliminate them “when they are inconsistent with the law, not useful, or counter to enforcement priorities.”
The EEOC also stated that rescinding the requirements would save covered entities and the agency approximately $278 million.
What Remains
Although the proposed rule would end the annual EEO-1 reporting requirement, the EEOC would retain its authority to request records tied to charge investigations, issue subpoenas, or engage in other enforcement proceedings.
Employers also remain subject to separate requirements to retain personnel and employment records.
What Employers Should Know
Until the EEOC issues a final rule, existing federal reporting and recordkeeping requirements remain in effect. Covered employers should continue complying with existing obligations and monitoring developments in the rulemaking process, while also assessing any applicable, separate state or local workforce data reporting requirements.
Jackson Lewis attorneys will continue to monitor the proposed rule and provide updates. If you have questions about your organization’s EEO reporting and recordkeeping requirements, please contact a Jackson Lewis attorney.
© Jackson Lewis P.C. This material is provided for informational purposes only. It is not intended to constitute legal advice nor does it create a client-lawyer relationship between Jackson Lewis and any recipient. Recipients should consult with counsel before taking any actions based on the information contained within this material. This material may be considered attorney advertising in some jurisdictions. Prior results do not guarantee a similar outcome.
Focused on employment and labor law since 1958, Jackson Lewis P.C.’s 1,100+ attorneys located in major cities nationwide consistently identify and respond to new ways workplace law intersects business. We help employers develop proactive strategies, strong policies and business-oriented solutions to cultivate high-functioning workforces that are engaged and stable, and share our clients’ goals to emphasize belonging and respect for the contributions of every employee. For more information, visit https://www.jacksonlewis.com.