E.O. impacts government contractors, subcontractors and certain grant recipients and is to “combat offensive and Anti-American race and sex stereotyping and scapegoating”

On September 22, 2020, President Trump signed the Executive Order (E.O.) on Combating Race and Sex Stereotyping which covers government contractors, subcontractors and certain grant recipients, except for contractors exempted by section 204 of E.O. 11246. Each contracting agency must insert a clause in every contract entered into 60 days from September 22, 2020 (November 21, 2020) that requires the contractor to:

1. “Not use any workplace training that inculcates in its employees any form of race or sex stereotyping or any form of race or sex scapegoating,”
2. Send to each labor union or representative a notice, provided by the agency contracting officer, identifying the commitments under the E.O. and informing them of the requirement to post copies of the notice in conspicuous places available to employees and applicants.
3. Include the provisions of paragraphs (1) through (4) in every subcontract or purchase order unless exempted. Contractors must take action for noncompliance by a subcontractor provided that that the “contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction.”

The E.O. is effective immediately except for the requirement to complete number 3 above.

The OFCCP is directed to establish a hotline and investigate complaints received under “both this order as well as the E.O. 11246 alleging that a Federal contractor is utilizing such training programs in violation of the contractor’s obligations under those orders.” Within 30 days of this order the OFCCP shall publish in the Federal Register a request for information regarding the training or similar programming provided to employees. Noncompliance of the requirements of paragraphs (1), (2) and (4) may result in the cancellation, termination or suspension in whole or in part of any contract.

The E.O. provides definitions for: (1) divisive concepts, (2) race or sex stereotyping, and (3) race or sex scapegoating.