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Category: Government Contracts

The House Appropriations Committee has approved legislation that would effectively eliminate OFCCP and significantly cut the budget of other Labor Department agencies.

Under the bill approved by the Committee September 9, OFCCP would receive no funding in fiscal year 2026. The Wage and Hour Division’s budget would sink by 9.6%, to $235 million; and the NLRB’s budget would fall by one-third, to $200 million. The Committee also advanced legislation that would fund the EEOC at $435.4 million, a 4.3% reduction.

The Committee’s bill is at odds with the bills approved by the Senate Appropriations Committee, which would provide $106 million for OFCCP, a drop of 4.5%; and $455 million for the EEOC, the same level as FY 2025.

The fiscal year ends September 30, but we are still a long way from a final FY 2026 spending deal for the Labor Department. The full House and Senate must agree, and while it is possible that the final spending deal will eliminate OFCCP, the Senate often exerts a moderating influence.

Members of the Center for Workplace Compliance, our affiliated nonprofit membership association, can stay informed by consulting our resource on Workplace Compliance Funding. CWC members can read more here.

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