REGULATORY UPDATES

Tracking the Executive Orders, Regulations, and Industry Updates Affecting Federal Contractors and Other Employers in 2025

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The Trump Administration has issued a number of Executive Orders and published sub-regulatory guidance affecting Federal Contractors and other employers at a pace that is difficult for employers to keep up with. The experts at DCI Consulting are tracking these changes and have provided summaries of the federal actions, directives, and other items that most affect your compliance obligations in the space of affirmative action, equal employment opportunity, and workforce analytics.

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EXECUTIVE ORDERS

January 2025

 


 

Executive Order 14185: Restoring America's Fighting

January 27, 2025

This Executive Order removes DEI initiatives in the military. This is similar to other Executive Orders aiming to remove DEI programs and initiatives from the civilian and federal workforce, federal contracting, and the private sector. It includes a definition of "DEI Office" that may influence how "illegal DEI" is defined in other executive orders.

 


 

Executive Order 14173: Eliminating Illegal Discrimination and Restoring Merit-Based Opportunity

January 21, 2025

This Executive Order revokes Executive Order 11246 and imposes new obligations on federal contractors to certify that they do not operate any "illegal DEI" practices. It also encourages the private sector to eliminate unlawful discrimination and preferences by directing federal agencies to compile lists of potential subjects for investigations or litigation related to "illegal DEI" activities. Additionally, this EO mandates that higher education institutions comply with the Supreme Court's ruling in SFFA v. Harvard College, which eliminates affirmative action.

More information can be found on the DCI Blog.

 


 

Executive Order 14170: Reforming the Federal Hiring Process and Restoring Merit to Government Service

January 20, 2025

This Executive Order promotes the use of data analytics by the administration to support merit-based hiring in the federal sector.

 


 

Executive Order 14168: Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government

January 20, 2025
This Executive Order instructs Federal agencies to define "sex" as a binary classification determined at conception, either male or female, excluding "gender." Agencies must restrict private spaces based on sex.

 


 

Executive Order 14151: Ending Radical and Wasteful Government DEI Programs and Preferencing

January 20, 2025
This Executive Order ends DEI offices and initiatives in the Federal government. Federal agencies must give the Office of Management and Budget (OMB) Director a list of contractors who provided DEI training or materials to their employees. 

 


OTHER FEDERAL MATERIALS

February 2025


 

GSA Memo: CAAC Consultation to Issue a Class Deviation From the Federal Acquisition Regulation (FAR) Regarding Executive orders 14173 and 14168

February 15, 2025

The General Services Administration (GSA) issued a memo from the Civilian Agency Acquisition Council (CAAC) authorizing Executive Branch agencies to deviate from FAR regulations and procurement practices in order to implement Executive Order 14173 and the revocation of EO 11246. The GSA also issued a supplement providing additional clauses and deviation text revisions for agencies to use.


 

OPM Memo: Further Guidance Regarding Ending DEIA Offices, Programs and Initiatives

February 5, 2025

The Office of Personnel Management (OPM) issued a memo providing clarification on expectations regarding ending DEIA offices, programs, and initiatives within the Federal government. This memo specifies that reasonable accommodations and other accessibility-related items, collection of demographic data, and other processes and procedures should continue as required by law. Employee Resource Groups (ERGs) and special emphasis programs can continue under the discretion of agency leadership and in compliance with President Trump's Executive Orders.

 


 

Attorney General Memo: Eliminating Internal Discriminatory Practices

February 5, 2025

The Attorney General outlined how the DOJ will follow EO 14173 by updating guidance to limit "disparate impact" theories and clarify that statistical disparities alone are not unlawful discrimination.

 


 

Attorney General Memo: Ending Illegal DEI and DEIA Discrimination and Preferences

February 5, 2025
The Attorney General issued a memorandum indicating that the DOJ's Civil Rights Division will investigate and address DEI and DEIA preferences, mandates, policies, programs, and activities in the private sector and educational institutions that receive federal funds.

 


 

January 2025

 


 

Acting Secretary of Labor's Order 03-2025

January 24, 2025
The Acting Secretary of Labor has ordered all DOL employees to halt all investigative enforcement activities under EO 11246, including pending cases, agreements, investigations, and complaints. Section 503 and VEVRAA reviews and investigations are also put on hold.

 


 

GSA's Policy Statement Regarding Intent to Suspend Enforcement of Contractual DEI Terms in Existing Agreements

January 22, 2025
The Government Services Administration (GSA) announced that it is suspending enforcement of all contract clauses, provisions, terms, and conditions related to DEI.

 


 

Fact Sheet: President Donald J. Trump Protects Civil Rights and Merit-Based Opportunity By Ending Illegal DEI

January 22, 2025
The document notes that "Ending Illegal Discrimination and Restoring Merit-Based Opportunity" has revoked EO 11246. It also bars OFCCP from enforcing 11246 and requires a clear affirmation that contractors will not engage in illegal discrimination, including illegal DEI.

 


CHALLENGES TO TRUMP ADMINISTRATION CHANGES

February 2025

 


 

Multi-State Guidance Concerning Diversity, Equity, Inclusion, and Accessibility Employment Initiatives

February 13, 2025

This document, which was signed by 16 state Attorneys General, provides guidance to employers on the important and legality of Diversity, Equity, Inclusion, and Accessibility programs.


 

House Resolution 989 - To Codify Executive Order 11246 titled "Equal Employment Opportunity"

February 5, 2025

This bill seeks to codify Executive Order 11246, which was revoked by President Trump. 


 

The American Federation of Labor and Congress of Industrial Organizations et. al v. U.S. Dept. of Labor, et. al

February 5, 2025

This lawsuit challenges actions by the Department of Labor and Department of Government Efficiency for allegedly unlawfully accessing sensitive information systems and data, violating the U.S. Constitution and the Administrative Procedure Act.

Filed in the U.S. District Court for the District of Columbia

 


 

National Association of Diversity Officers in Higher Education, et. al v. Donald J. Trump, et. al

February 3, 2025

This lawsuit challenges §§ 3 and 4 of EO 14173, claiming they violate free speech, due process, and separation of powers.

Filed in the U.S. District Court, Maryland, Baltimore Division

 


 

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