On November 25, 2025, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) updated thresholds for Section 503 of the Rehabilitation Act (Section 503) and Vietnam Era Veterans’ Readjustment Assistance Act (VEVRAA) coverage.

Due to an inflationary adjustment, effective October 1, 2025, thresholds increased from:

• $15,000 to $20,000 for basic Section 503 coverage; and
• $150,000 to $200,000 for VEVRAA Affirmative Action Program (AAP) requirements.

This means that  federal contractors and subcontractors with:

• A federal contract of $20,000 or more must not discriminate against and must take affirmative action to employ individuals with disabilities;
• A single federal contract of $50,000 or more and has 50 or more employees must develop a Section 503 AAP;
• A federal contract of $200,000 or more must not discriminate against and must take affirmative action to employ veterans; and
• A single federal contract of $200,000 or more and has 50 or more employees, must develop a VEVRAA AAP.

For more information, please visit the OFCCP’s website.

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