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Key Takeaways:
- The EEOC has voted to rescind several of its rules mandating that employers report workplace demographic information, including the rule requiring the submission of EEO-1 reports.
- The EEOC’s Notice of Proposed Rulemaking will be published in the Federal Register for public comment, and members of the public will have 30 days from publication to submit comments.
- If the rule becomes final, covered employers will be relieved of obligation to file EEO-1 reports.
On July 21, 2026, the Equal Employment Opportunity Commission (“EEOC”) voted 2-1 to issue a proposed rule that would rescind the agency’s long-standing annual workforce demographic reporting requirements, including the EEO-1 report required of many private employers. If finalized, the proposal would also eliminate similar reporting requirements for certain unions, state and local government entities, public schools, and other covered organizations.
For decades, the EEOC has required covered employers and other entities to submit annual reports summarizing aggregate workforce data by race and sex. The EEO-1 report, in particular, has applied to private employers with at least 100 employees and certain federal contractors with at least 50 employees. In announcing the proposal, the Commission stated that the reports are not required by Title VII, impose substantial costs, and are not sufficiently tailored to the agency’s enforcement needs.
The proposal is not final. The EEOC’s Notice of Proposed Rulemaking will be published in the Federal Register for public comment, and members of the public will have 30 days from publication to submit comments. The agency has also scheduled a public hearing for August 11, 2026, with requests to testify due by August 7, 2026.
If the rule becomes final, employers will be relieved from many reporting requirements mandated by the EEOC. However, employers should not assume that the proposal eliminates all demographic-data obligations. The EEOC has stated that its authority to request specific records in connection with charge investigations would remain unchanged. Employers should continue to monitor the rulemaking process, consider whether to submit comments, and maintain employment records needed to respond to discrimination charges, audits, or litigation.
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