Hi Dawn. This is complex question that can't be answered in a simple way in a forum like this. I'll provide several thoughts here, and then you may contact me directly at [email protected] if you'd like to discuss this further. When you intend to convert contractors, and you are entirely certain that no other candidates will be considered, this is the wrong time to conduct additional recruitment. You risk the possibility of having other candidates in an applicant pool along with the contractors who may be as qualified or more qualified than the individuals you intend to hire. You are certainly allowed to conduct additional recruitment at this time, and you SHOULD conduct additional recruitment if contractors will be among the candidates considered but will not be the only candidates considered. However, if you know with certainty who will be hired for a position, adding additional candidates simply puts your company at risk. The more interesting questions here surround two different subjects: -First, how do you meet the requirement to list with the relevant state employment delivery system (ESDS) office, and to otherwise conduct effective outreach for these positions? -Second, is there an applicant pool if you intend to convert contractors? As a general matter, OFCCP seems to understand that if a company is converting contractors, there is little value in conducting additional outreach at the time of conversion. However, in recent OFCCP reviews, we have seen OFCCP ask whether employment agencies and temporary services used to provide contractors are contacting the relevant ESDS office and whether these organizations are making any outreach efforts on behalf of the federal contractor or subcontractor. You should have a very direct conversation with the organization supplying you with contractors on the actions these organizations are taking on your behalf. It's also important to determine how the selection process works when contractors are converted to the regular payroll. If a company has a policy where a contractor is converted after 90 successful days on the job, then the selection process is simply: there is only one applicant for this opening and only one applicant considered. (While OFCCP doesn't like situations where there is a one-to-one relationship between applicants and hires, it generally accepts this kind of scenario.) However, if a company has an open position and multiple contractors on the company's site are allowed to apply, then there is a very different selection process used and there is an applicant pool to evaluate. If a company allows contractors to apply for openings along with other external candidates, there may yet be a different selection process used and there will certainly be an applicant pool to evaluate. I hope this is helpful. I personally believe this issue of converting contractors will gain increasing importance in future OFCCP reviews, so it's important for you to have answers to questions OFCCP may ask in this regard.

You can use this OFCCP audit checklist to ensure you're doing what is required to maintain OFCCP's regulations including VEVRAA, Section 503, and EO 11246. Or request a demo to streamline your compliance and recruiting efforts.