The proposal was backed by the EEOC‘s Republican majority. Commissioner Kalpana Kotagal, the agency’s sole Democratic commissioner, voted against it. The proposal would rescind the EEO data-reporting requirements and related recordkeeping rules covering several forms, including the EEO-1 report used by many private employers.

Who could be affected

The current EEO-1 Component 1 collection generally applies to private-sector employers with 100 or more employees and to federal contractors with 50 or more employees that meet certain criteria. Employers report workforce information by job category, sex, race and ethnicity.

Other EEO data collections cover different entities, thresholds and schedules. The EEOC identifies reports involving eligible local unions, state and local governments, and public elementary and secondary school systems. Those collections can include information such as job category, salary band, membership, referrals and staff assignments. Requirements are not identical across employers, unions, governments and schools.

The EEOC says more than two million employers and other covered organizations are reached by its reporting requirements. The agency estimates that the current collections cost employers nearly $275 million each year and cost the EEOC nearly $4 million annually to administer.

Why the agency supports the proposal

The EEOC says the reports are burdensome, unnecessary and potentially inconsistent with equal-employment law because covered organizations must submit them even when there is no specific discrimination charge or investigation. The agency also argues that collecting race and sex information without a particular allegation may raise constitutional concerns and could conflict with its enforcement priorities.

The proposal would not eliminate the EEOC’s ability to request tailored records during a discrimination investigation. The agency says that authority would remain unchanged.

Why critics object

Civil-rights advocates and former EEOC officials argue that recurring workforce data helps regulators, researchers and the public identify patterns in hiring, promotion, pay and representation. The reports do not by themselves prove unlawful discrimination, but they can help guide enforcement priorities and point investigators toward areas that warrant closer review.

The Associated Press reported that the data has been used to track how women and racial minorities have fared across job categories and to inform some EEOC investigations. Ending the standardized collections could make nationwide comparisons harder, especially when individual workers do not file complaints or when discrimination is difficult to detect through isolated cases.

What happens next

The proposal will be published in the Federal Register before the formal comment period begins. The public will have 30 days from that publication date to submit comments. The EEOC has scheduled a public hearing for August 11, 2026, and requests to testify are due by August 7.

For now, employers and other covered organizations should continue treating existing reporting obligations as active. The next major question is whether the commission changes the proposal after reviewing public comments or moves toward a final rule that would reduce the amount of standardized workforce information available to regulators and the public.

Sources

• EEOC proposed-rule announcement
• Associated Press coverage