or returns it to the agency for further action, establishing standards and techniques for reinvestigation and future initial investigations. When investigation and findings have been approved, the agency and complainant are so notified. Analyzes compliance reviews conducted by contracting agencies. Reviews agency recommendations concerning the compliance status of a Government contractor, and impositions and sanctions recommended or imposed by contracting agencies. Evaluates each agency's compliance program to assure that it is consistent with and in futherance of the objectives of the orders (see exhibit A). Changes for 1967 Mandatory changes to----- +$300 ($23,200 Increases in all elements of the work of this Office beyond that which can be absorbed will require the services of three additional professional positions and $25,100 over 14 professional positions provided in fiscal year 1966 base. personal services, $1,900 nonlabor and an additional $21,000 for the employment of consultants to meet ad hoc situations requiring specialized high level talent.) Also included is $83,000 to provide the full year cost of positions funded for part of a year in 1966. Travel, field involvement by staff members.—It is anticipated that staff members will take greater part in field investigations. In certain difficult cases, involving union-management negotiations surrounding revision of collectivebargaining agreements, those involving critical community relations, or those involving structural impertinence to nondiscriminatory placements and promotions, such personal involvement by the Office of Federal Contract Compliance staff has proven indispensable and as a result, added travel by staff members will be necessary (an increase of $10,000 over the 1966 base of $15,000). Legal services.-The provisions of the Executive order requires top level coordination of legal matters with the Department of Justice and the Equal Employment Opportunity Commission. Such coordination will require the attention of trained atorneys. The estimate provides that these services be obtained from the Office of the Solicitor on a reimbursable basis for 1967 in lieu of establishing a small legal staff in the Office of Federal Contract Compliance. Twenty-five thousand dollars is estimated for this purpose. Rental costs.-Because some of the rental plans of the rest of the Department of Labor were slow to materialize in 1966, the Department was able to pay the first part-year costs of rent for this activity. Rental costs for activity 2 (plans for progress unit) of $30,000 is provided for in the 1966 base. For 1967, the rental estimate for general departmental purposes have been reduced and this estimate provides $35,000 for full-year costs to be reimbursed to the General Seervices Administration in 1967. Compliance reviews (nonconstruction program).—Evidence of improved agency compliance programs has been reflected in increased numbers of compliance reviews. Further perfection of agencies compliance programs is expected during fiscal year 1967 which will result in further contractual coverages through the review method, and additional preaward reviews. About 40,000 nonconstruction Government contractors subject to Executive Order 11246 have already been identified. In the early part of fiscal year 1966, agencies were conducting about 650 reviews per month. This number is increasing substantially. Present nonconstruction guidelines call for reviews of at least 50 percent of all contractors with 100 or more employees in areas of over 4 percent minority group population. Agency plans call for a minimum of 11.000 initial and followup reviews during fiscal year 1966 and 14.000 in 1967. All such reviews will be referred to the Office of Federal Contract Compliance (OFCC) for review. Due to staff restrictions, many of these will be only superficially reviewed, but it is expected that in about 300 or 400 cases the Office staff will initiate actions other than those proposed by the agencies, or will become directly involved in the investigation or negotiation. In addition, agencies are undertaking preaward reviews of contractors not previously reviewed, before the award of a substantial contract. Added staff time will be needed in that Executive Order 11246 authorizes the Office of Federal Contract Compliance to initiate or order an investigation even in the absence of a formal complaint. The order also authorizes the Secretary to investigate all matters in connection with passing upon any request for an exemption or in determining the advisability of withdrawal of an exemption previously made. Complaint investigation.-During the first quarter of fiscal year 1966, under the President's Committee on Equal Employment Opportunity, receipt of complaints remained at about the same level as in fiscal year 1965 when 1,011 complaints were processed. Although many such complaints may be filed with the Equal Employment Opportunity Commission, early experience has indicated that the increased public awareness of legal rights to equal employment opportunity will generate many complaints against Government contractors. In 1966 the number filed with the Office of Federal Contract Compliance should remain at least at the same level as in fiscal year 1965 under the President's Committee. In addition, many complaints filed with the Commission involving Government contractors will require the coordinated attention of the Office of Federal Contract Compliance to insure compliance with the Executive orders before Government contracts are awarded. As public awareness continue to increase regarding both the Office of Federal Contract Compliance and legal rights to equal opportunity in general, the number of complaints registered with the Office in 1967 will probably continue to increase. As obvious discrimination is abolished and acts of covert discrimination and complex structural problems related to promotion and placement are increasingly identified, there will be added demands on the Office staff in framing solutions. Construction program.-In 1966 contracting agencies will follow new guidelines requiring surveillance of at least 50 percent of their construction jobs which exceed $1 million and which are located in areas with over 4 percent minority group populations. Also, agencies are conducting preaward conferences with contractors exceeding $100,000. The preaward workload is not included with the estimated number of compliance reviews to be conducted in fiscal year 1966 and discussed above. Extensive interagency coordination will be increasingly necessary to achieve proper agency programs, including extensive surveillance of jobsites and preaward understandings with contractors. In addition, there must be considerable negotiation with trade unions and contractors' associations, which requires central direction and coordination. As contracting agencies develop programs to meet the minimum construction industry guidelines established in fiscal year 1966, these guidelines will be extended to reach all significant contract sites, so that the federally involved portion of this industry may be adequately covered. As the programs mature, more staff time must be devoted to them. 1966. 1967. ACTIVITY 2. PLANS FOR PROGRESS UNIT $153,000 222, 600 NARRATIVE DESCRIPTION OF PROGRAM Plans for progress is a program developed voluntarily by leading employers from all over the Nation to provide a means for more aggressive participation and leadership by private business, industrial and commercial corporations in the promotion and implementation of equal employment opportunity. As a cooperative program of the former President's Council on Equal Opportunity. plans for progress supplements the Federal program applicable to Government contractors. Presently, 316 major corporations and financial and educational institutions, including companies not involved in Government contracting, are members of the program. They belong by virtue of having drawn up, and of currently following through on, formal pledges to take affirmative action in providing equal job opportunities for all Americans based on merit alone. These members employ almost 9 million people. Plans for progress members implement their plans individually, in their plants and in their communities where they operate, and in concert by joining their financial and manpower resources when feasible. They also prepare and submit to the unit annual employment statistics as one means of measuring progress in achieving equal employment and advancement opportunity. The program has a 25-member business advisory council made up of member company executives and a small administrative staff in Washington comprised of industry executives on loan from member companies for 1 year. Supporting these industry executives are 12 management and secretarial Federal positions. The advisory council works through a number of committees and the administrative staff to develop policies and activities which will achieve further progress. The staff also stimulates and executes a variety of projects aimed at furthering the program, and serves as a national communicator of the program's aims and accomplishments. (a) Regional conferences are being sponsored at about one per quarter; a college placement conference was conducted this fall in Atlanta, Ga., and a national conference is scheduled in January in Washington, D.C.; 1967 activity will remain at the same level. (b) The guidance counselor seminars were conducted in 12 cities during the summer of 1965. During 1966 there will be an expansion of both the number of the cities and the number of participants in the guidance counselor projects, and 20 cities are projected in 1967. (c) The communications campaign on equal employment opportunity began in the fall of 1965 on radio and television. It will be expanded to its full extent by the end of fiscal year 1966 and be continued through 1967. It is expected that this campaign will generate substantial requests for information relating to this program in industry. Pamphlets and other kinds of information describing plans for progress activities and programs are being distributed. (d) A community relations handbook will be printed and published in 1966 and followup "how to" manuals will be prepared. (e) The business incentive program is being expanded beyond college campuses to include high schools and, in addition, the group will be organized to serve in an advisory capacity to the plans for progress efforts. (f) Recruitment of companies into the plans for progress program is being vigorously pursued in the style of the 1965 Cleveland project which resulted in 14 Cleveland companies joining the program. This will continue to be expanded in 1967. (g) Encouragement continues for the formation of local equal employment opportunity councils. (h) Continued emphasis is being given to stimulating business and industry interest in manpower development and training activities and on-the-job training through plans for progress activities and the busines council. (i) Increased emphasis is being placed on liaison with (1) the Equal Employment Opportunity Commission; (2) the Community Relations Service; (3) the Office of Economic Opportunity; (4) the Department of Commerce; and (5) other organizations of the Department of Labor. Attached exhibit B lists the members of the advisory council, and exhibit C the 316 major corporations that are members of the plans for progress program, by State. Mandatory changes. Program changes Changes for 1967 +$100 The estimate includes two new positions and $32,500 ($27,000 personal services and $5,500 nonlabor). They are one GS-15 public information officer, and one GS-10 management assistant. The plans for progress staff in fiscal year 1966 consists of a number of executives on loan from private industry, who help direct and carry out the program, and 10 Government employees who provide secretarial clerical and general administrative support. Also included is $31,000 to provide the full-year cost of positions funded for part of a year in 1966. The public information officer acts as program coordinator and executive assistant to the Special Adviser to the Vice President for Plans for Progress. Since the on-loan executives are rotated on an annual basis, this person provides continuity for the extensive plans for progress programs supported by industry. He represents the special adviser at numerous policy meetings and also serves as liaison with the Vice President's staff, with the Office of the Secretary of Labor, with the Equal Employment Opportunity Commission, and with other Federal agencies. During the various programs and conferences of plans for progress, he also is responsible for public relations work and for production of conference reports and various newsletters and communications. The GS-10 management assistant is assigned as administrative aid to the Special Adviser to the Vice President on Plans for Progress. This position will have personal responsibility for performing administrative and secretarial duties in connection with the responsibilities for plans for progress. The in cumbent will work closely with the executive assistant in keeping the superior informed on all current matters regarding those duties. Continued and increased activity by this unit will require $6,000 in additional travel funds over the fiscal year 1966 base of $23,000. Activity 1. Office of the Director of Federal Contract Compliance: GS-9... Under and by virtue of the authority vested in me as President of the United States by the Constitution and statutes of the United States, it is ordered as follows: PART I NONDISCRIMINATION IN GOVERNMENT EMPLOYMENT SECTION 101. It is the policy of the Government of the United States to provide equal opportunity in Federal employment for all qualified persons, to prohibit discrimination in employment because of race, creed, color, or national origin, and to promote the full realization of equal employment opportunity through a positive, continuing program in each executive department and agency. The policy of equal opportunity applies to every aspect of Federal employment policy and practice. SEC. 102. The head of each executive department and agency shall establish and maintain a positive program of equal employment opportunity for all civilian employees and applicants for employment within his jurisdiction in accordance with the policy set forth in Section 101. SEC. 103. The Civil Service Commission shall supervise and provide leadership and guidance in the conduct of equal employment opportunity programs for the civilian employees of and applications for employment within the executive departments and agencies and shall review agency program accomplishments periodically. In order to facilitate the achievement of a model program for equal employment opportunity in the Federal service, the Commission may consult from time to time with such individuals, groups, or organizations as may be of assistance in improving the Federal program and realizing the objectives of this Part. SEC. 104. The Civil Service Commission shall provide for the prompt, fair, and impartial consideration of all complaints of discrimination in Federal employment on the basis of race, creed, color, or national origin. Procedures for the consideration of complaints shall include at least one impartial review within the executive department or agency and shall provide for appeal to the Civil Service Commission. SEC. 105. The Civil Service Commission shall issue such regulations, orders, and instructions as it deems necessary and appropriate to carry out its responsibilities under this Part, and the head of each executive department and agency shall comply with the regulations, orders, and instructions issued by the Commission under this Part. PART II-NONDISCRIMINATION IN EMPLOYMENT BY GOVERNMENT CONTRACTORS AND SUBCONTRACTORS SUBPART A-DUTIES OF THE SECRETARY OF LABOR SEC. 201. The Secretary of Labor shall be responsible for the administration of Parts II and III of this Order and shall adopt such rules and regulations and issue such orders as he deems necessary and appropriate to achieve the purposes thereof. SUBPART B-CONTRACTORS' AGREEMENTS SEC. 202. Except in contracts exempted in accordance with Section 204 of this Order, all Government contracting agencies shall include in every Government contract hereafter entered into the following provisions: "During the performance of this contract, the contractor agrees as follows: "(1) The contractor will not discriminate against any employee or applicant for employment because of race, creed, color, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, creed, color, or national origin. Such action shall include, but not be limited to the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of this nondiscrimination clause. "(2) The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, creed, color, or national origin. "(3) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice, to be provided by the agency contracting officer, advising the labor union or workers' representative of the contractor's commit ments under Section 202 of Executive Order No. 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. "(4) The contractor will comply with all proviisons of Executive Order No. 11246 of Sept. 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. "(5) The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the contracting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. "(6) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of such rules, regulations, or orders, this contract may be cancelled, terminated or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts in accordance with procedures authorized in Executive Order No. 11246 of Sept. 24, 1965, and such other sanctions may be imposed and remedies involved as provided in Executive Order No. 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. "(7) The contractor will include the provisions of Paragraphs (1) through (7) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 204 of Executive Order No. 11246 of Sept. 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the contracting agency may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, That in the event the contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the contracting agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States." |