What is Affirmative Action Plan (AAP)?
An Affirmative Action Plan (AAP) is a written program in which a company details how it will ensure the right of all persons to advance on the basis of merit and ability without regard to race, color, religion, sex, national origin and other factors.
Who should have a Affirmative Action Plan?
Formal affirmative action plans are only required for federal contractors and subcontractors who meet the following criteria. Companies which come under this bracket must develop the AAP plan annually to comply with the law. The criteria are:
- Have 50 or more employees, within 120 days from the start of the federal contract and/or have a 50k+ USD federal contract / subcontract
- Serve as a depository of federal funds in any amount
Please do check with the OFCCP website for more details and if you meet any of these conditions
How do I make an affirmative action plan?
All federal contractors and subcontractor should do internal audits to keep a track of relevant demographic information about their employees. These audits should ensure capturing information about:
- During the hiring process, collect relevant demographic details
- Promotions
- Transfers
- Terminations
- Compensation
Examples of affirmative action plans
OFCCP maintains a webpage with a sample affirmative action plan and how you can create one as well. Keep in mind that these are created with employers less than 150 employees and for larger employees, you should take additional help. Check out the samples here
