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Marko Law Firm

Which employers must comply with Executive Order 11246?

Executive Order 11246 applies to federal contractors and subcontractors that meet specific thresholds:

✅ Contracts of $10,000 or more: Any employer with a federal contract or subcontract of at least $10,000 must comply with basic non-discrimination provisions.

✅ Contracts of $50,000+ & 50+ employees: Employers with 50+ employees and contracts of $50,000 or more must also develop and maintain a written Affirmative Action Plan (AAP).

✅ Construction Contractors: Any construction companies working on federally funded projects must comply, even if their contract value is below the thresholds.

✅ Higher Education & Healthcare Institutions: Universities and hospitals that receive federal funding are often subject to these rules.

Employers who fail to comply risk penalties, including loss of federal contracts, financial fines, and potential litigation by the Department of Labor.

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