April 2013

HOW OFCCP COVERS HOSPITALS
HERE’S THE RACK-UP AFTER THE UPMC CASE DECISION

I was going to write about the provocative way OFCCP currently selects contractors and contractor establishments for audit, but the tenor and volume of calls and e-mail traffic to my desk in the last two weeks from health care clients and industry representatives have persuaded me I need to wade NOW into the health care-OFCCP thicket. Apart from straightening out the welter of confusion regarding OFCCP’s coverage of the health care industry, I discuss below how to value hospital contracts (which is very tricky, as it turns out). I also discuss what kinds of federal contracts are not covered and do not subject companies to OFCCP’s jurisdiction if the companies receive these kinds of federal monies. And, along the way, I explain UPMC’s four failed defenses to OFCCP jurisdiction over it and why all four lost arguments were entirel