During a hearing conducted by the House Subcommittee on Workforce Protections, Littler’s David Goldstein testified about the Office of Federal Contract Compliance Programs’ (OFCCP) persistent attempts to assert jurisdiction over many healthcare providers based on TRICARE participation. TRICARE is the Department of Defense (DoD) program that pays for the medical benefits of active duty and retired military personnel and their families. The federal contractors that administer the TRICARE program enter into contracts with hospitals and other medical providers to provide medical care and supplies to military personnel and their family members covered by TRICARE.  

Reversing prior positions, the OFCCP under President Obama has  asserted that healthcare entities that agree to participate in the TRICARE program are federal subcontractors that must comply with the affirmative action and other arduous requirements imposed and enforced by the agency.  As Goldstein stated during the hearing, “healthcare providers are already highly regulated,” and are subject to federal and state nondiscrimination requirements, so subjecting them to additional OFCCP requirements would impose significant administrative and financial burdens. Continue reading this entry at Littler's Workplace Policy Update.