The End for Federal EEO Data Reports?

Graphic titled 'The End for Federal EEO Data Reports?' featuring a red-toned Great Seal of the United States, a gavel, and a torn EEOC (Equal Employment Opportunity Commission) document, with the Lindner & Marsack Attorneys at Law logo

The EEOC’s Proposed Rule to Rescind Annual Demographic Reporting Requirements

By: Carmen N. Decot

As most employers are aware, the Equal Employment Opportunity Commission’s (“EEOC’s”) existing regulations require certain employers covered by Title VII of the Civil Rights Act of 1964 and certain federal contractors, to collect and maintain information on the sex and race/ethnicity of their employees and to file annual data reports detailing such employee demographics by job category. However, these requirements may soon become a thing of the past.

The EEOC’s Proposed Rule

On July 23, 2026, the EEOC issued a proposed rule seeking to rescind and eliminate the requirement for covered employers to file EEO-1, EEO-2, EEO-3, EEO-4, EEO-5, and EEO-6 reports, as well as the recordkeeping and retention requirements related to such reports. According to the EEOC, it is proposing recission of the 60-year-old EEO data collection and reporting requirements because it has determined that such requirements are “inconsistent with equal employment opportunity law,” are “potentially unconstitutional,” and the data collected is “not narrowly tailored,” is “unnecessary to enforce anti-discrimination laws,” and its benefits are outweighed “by the substantial burdens” imposed on employers and the EEOC. The EEOC noted that the current EEO reporting obligations may also have the unintended effect of promoting stereotyping or encouraging employers to engage in discrimination to address “perceived inequitable outcomes” or to “correct statistical imbalances.” The EEOC further emphasized the “significant costs” imposed on employers and the EEOC by the EEO reporting, particularly because employers are currently required to submit EEO data reports every year even when there is no allegation that the employer has violated Title VII. The EEOC reiterated that its proposed recission of the EEO data collection and reporting requirements will not affect the agency’s ability to request and obtain records relevant to a complaint of discrimination and the related charge investigation.

What’s Next?

The EEOC’s proposed rule is now subject to a 30-day notice and comment period. Employers who wish to comment on the proposed rule will have until August 22, 2026, to do so. In addition, the EEOC will hold a hearing on August 11, 2026, regarding its proposal. If the proposed rule is approved after public comments are considered, the EEOC will eventually issue a final rule rescinding the EEO reporting and recordkeeping obligations. For now, employers should continue to collect the required EEO data and keep an eye out for further updates. Employers should also be mindful of any state or local EEO data collection or reporting requirements, which are not impacted by the EEOC’s proposal, and they should reach out to experienced employment counsel with any questions regarding changes to their obligations going forward.

If you have questions about this material, please contact Carmen Decot at cedcot@lindner-marsack.com, or any other attorney that you have been working with at Lindner & Marsack, S.C.