EEOC Votes to End Race and Gender Reporting: What It Means for Employers

The EEOC Just Voted to Drop Race and Gender Reporting Requirements

The Equal Employment Opportunity Commission (EEOC) voted 2-1 to end the long-standing requirement that companies track and report workforce race and gender data. This move, part of a broader rollback of DEI initiatives, could change how employers handle diversity data. Here's what you need to know.

Why Did the EEOC Make This Change?

The EEOC's decision is the latest step in the Trump administration's effort to eliminate DEI-related practices across the country. The proposal would end the 60-year-old mandate for companies to submit EEO-1 reports, which break down their workforce by race and gender.

Experts say this isn't surprising given recent executive orders and court rulings. "In January 2025, many employers began to end DEI initiatives after the White House issued executive orders dismantling diversity, equity, inclusion, and accessibility programs," explained Justin O'Keith Higgs, a senior labor and employment counsel. "While those orders didn't apply to private companies, many took the opportunity to align with the White House."

How Will This Affect Employees and Employers?

Impact on Legal Cases

Workplace trauma lawyer Michele Simon warned, "Without proper enforcement, data collection is irrelevant anyway. But it doesn't set up a future democratic administration well with gaps in the data." Higgs added that plaintiffs' attorneys often rely on EEO-1 reports to analyze workforce trends. "We would now be pulling that resource in relation to race and gender. This could delay and extend litigation because many plaintiffs' attorneys will still need this data, and companies will have to compile it for discovery." That means extra costs, time, and fees.

Concerns About Diversity and Inclusion

Simon noted, "These moves by EEOC to send us back to Jim Crow days only emboldens employers who were already disinclined to follow the law." Higgs observed, "The past year I have seen a great deal of people of color, in particular Black women, be let go from their positions. Many will use this recession to continue these behaviors."

Higgs emphasized the value of diversity: "Having a diverse employee population is one of the greatest strengths a company could have. Individuals from various backgrounds, levels of experience, and life perspectives allow you to innovate and create things a monolithic space cannot offer."

State Laws Still Require Some Reporting

Even without the EEOC mandate, some states still require this data. As Higgs explained, "Many companies will still have to collect this data by law if they have employees in California, Illinois, and other states. State obligations continue regardless, as many jurisdictions have their own version of EEO-1 reporting and pay data reporting." Additionally, companies may need self-ID data to defend charges or class claims.

Should Employers Stop Collecting Race and Gender Data?

No. This decision only ends the federal requirement—it doesn't stop companies from collecting data voluntarily. Simon advised, "Nothing is stopping employers from collecting their own data, large or small. The underlying federal civil rights laws have not changed, only the current administration's twisted interpretation of them. A change in the political winds can happen quickly."

Higgs echoed that sentiment: "An employer that reads this headline and shuts off demographic collection has traded a filing burden for an evidentiary problem. It would be easier to simply continue to collect the data." He also pointed out that many companies profit from producing these reports, so lobbying efforts will likely keep the practice alive.

Bottom Line for Employers

• Keep collecting and reporting race and gender data voluntarily to avoid future legal headaches.
• Understand that state laws may still require similar reporting.
• Remember that diversity strengthens innovation and growth—don't let short-term political shifts derail long-term success.
• Stay ready for potential policy changes if the administration changes.

The EEOC's vote is a significant shift, but it doesn't change the value of a diverse workforce or the legal obligations many companies still face. The smartest move is to continue tracking this data and using it to build a better, fairer workplace.