At what point during the review of compensation matters will the OFCCP perform a regression analysis?
A regression analysis will be conducted when there are indicators of potential systemic compensation discrimination problems. OFCCP will perform a regression analysis and provide summary results to the contractor in support of a Predetermination Notice or a Notice of Violation alleging systemic compensation discrimination. The purpose of the regression analysis is to analyze the relationship between the compensation and the legitimate factors that the contractor uses to determine pay decisions, such as work performed, responsibility level, skills and qualifications, education, performance, or other relevant experience. The regression analysis will show whether or not race and/or gender have statistically significant effects on compensation. OFCCP’s review of a contractor’s compensation practices generally will proceed through the following steps: Step 1: Analysis of the contractor’s submission in response to Item Number 11 of the OFCCP Scheduling Letter. Step 2: After assessing the con
