The Trump Administration announced the appointment of Catherine Eschbach as Director of the OFCCP on March 24, 2025. Prior to her appointment, Director Eschbach was an attorney in the appellate practice group at Morgan Lewis & Bockius LLP.
Early reports are that Director Eschbach will focus, at least initially, on confirming that contractors have ended compliance with rescinded Executive Order 11246, specifically the affirmative action obligations. The legal authority to conduct such investigations is unclear at this point.
With respect to enforcement of Section 503 and VEVRAA, Director Eschbach plans to review OFCCP’s statutory authority to investigate compliance with these laws.
Whether the 90% reduction in force previously reported will go forward is an open question.
What does this mean for federal contractors?
Director Eschbach’s initial statements clearly indicate an interest in using OFCCP to investigate federal contractors for “illegal” DEI. This will require a new executive order authorizing such investigations and the implementation of regulations. While executive orders are easy to issue (and rescind), the process of proposing and finalizing regulations is a lengthy one.
Section 503 and VEVRAA focused reviews may be back on the table.
Federal Contractors are advised to confirm their compliance with Section 503 and VEVRAA. And, if they have not done so, review their DEI initiatives for compliance with Title VII’s non-discrimination requirements.
