NELC Legal Insights
A May 2026 EEOC proposal could end federal EEO-1 reporting — but state requirements are already filling the gap.
For the last 60 years, large employers (more than 100 employees) and certain federal contractors (more than 50 employees) were required to submit annual workforce demographics to the Equal Employment Opportunity Commission (“EEOC”) through the EEO-1 reporting process. That requirement may soon change.
In May 2026, the EEOC submitted a proposed plan to rescind the federal regulations mandating EEO-1 data collection and reporting. Although the proposal has not yet been approved and employers must continue to comply with current reporting obligations, there are strong signals 2025 may be the final reporting year.
The EEOC’s mandatory annual data collection requires large private employers and federal contractors to submit workforce demographic data by job category, sex, and race or ethnicity. Historically, the EEOC has used this information to support enforcement efforts, identify possible patterns of discrimination, and analyze workforce demographics across industries and geographic regions. These reports have also been discoverable in employment litigation.
On May 14, 2026, the EEOC submitted a proposal to rescind the federal regulations requiring EEO‑1 reporting. The proposal would eliminate reporting requirements associated with Title VII of the Civil Rights Act, the Genetic Information Nondiscrimination Act, the Pregnant Workers Fairness Act and the Americans with Disabilities Act.
Importantly, the proposal is only the first step in the rulemaking process. Before any changes become effective, the proposal must undergo review by the Office of Information and Regulatory Affairs, be published in the Federal Register, and proceed through a public comment period.
These developments reflect a broader shift in the EEOC’s overall policy objectives. In line with this Administration’s policy goals, the agency appears to be narrowing both the scope of data collection and the role that data plays in enforcement strategy, focusing instead on intentional discrimination. Historically, EEO-1 information has been used for diversity, equity and inclusion (“DEI”) initiatives. The elimination of employment DEI initiatives is a key priority for this Administration, and the proposed plan aids in this goal.
Even if the federal EEO‑1 requirement is repealed, employers should not assume that demographic reporting obligations will disappear.
Several states have enacted, or are considering, reporting requirements that are similar to or more expansive than EEO‑1 reporting:
Other states are likely to consider similar measures if the federal reporting requirement is rescinded.
For now, employers should still prepare their EEO-1 reports for the 2025 reporting year. Although the EEOC has not yet opened the EEO-1 filing portal as of July 2026, the reporting regulations still remain in effect. Historically, the EEOC has announced annual filing windows separately from the regulatory deadline, and employers should closely monitor agency announcements regarding filing dates. Until the final rule takes effect, covered employers should assume that EEO‑1 reporting obligations remain in place.
While the future of federal EEO‑1 reporting is uncertain, workforce demographic reporting is unlikely to disappear. Employers should continue preparing for current federal reporting obligations while also evaluating state-specific requirements. It remains good practice to maintain accurate workforce demographic data to ensure internal reporting systems can accommodate both federal and state obligations in the coming years.
Nicole Su Associate, Cozen O’Connor |
Nicole Su is an associate in Cozen O’Connor’s Houston office and a member of the firm’s Labor & Employment practice, where she represents employers in discrimination, harassment, and other employment disputes as well as labor relations matters. Board Certified in Labor and Employment Law by the Texas Board of Legal Specialization, Nicole works closely with clients to understand their business needs and develop practical strategies. Before joining the firm, she served as a judicial law clerk. She has been recognized by Best Lawyers: Ones to Watch for Labor and Employment Litigation and by Texas Super Lawyers as a Rising Star, and she is a 2023 Fellow of the NELC Academy. Nicole is a past president and current board member of the Asian American Bar Association of Houston and is active in the Houston Bar Association’s Labor and Employment Section. She earned her J.D. from the University of Houston Law Center and her B.A. from Northwestern University.
Silvia Chicas Wager Associate, Cozen O’Connor |
Silvia Chicas Wager is an associate in Cozen O’Connor’s Houston office, where she focuses her practice on employment litigation and counseling. She defends employers against discrimination, harassment, and retaliation claims and handles trade secret and restrictive covenant disputes, drafting dispositive motions, managing discovery, and participating in settlement negotiations. Silvia also delivers workplace compliance training for clients in English and Spanish and serves employers across industries including healthcare, energy, and retail. A fluent Spanish speaker and Certified Spanish Legal Interpreter, she is a Fellow of the NELC Academy (2024 and 2025) and has been named a Texas Super Lawyers Rising Star. Silvia is a member of the Houston Bar Association’s Labor & Employment Section, the Hispanic Bar Association, the Mexican-American Bar Association, and the Houston Association of Women Attorneys, and she serves as a Co-Editor of the NELC Newsletter. She earned her J.D. from the University of Houston Law Center and her B.A. from the University of Houston.
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This article appeared in the NELC Newsletter, 2026 · Issue No. 3. The views expressed are those of the authors and do not constitute legal advice.