In the realm of federal contracting, a utilization goal is a benchmark used to measure the representation of individuals with disabilities represented in each job group within a workforce. Rather than acting as a rigid quota, it serves as a performance target to help organizations evaluate whether their recruitment and retention efforts are successfully reaching qualified individuals with disabilities.
Key Components of a Utilization Goal
- The 7% Benchmark: Under Section 503 of the Rehabilitation Act, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) established a national utilization goal of 7%.
- Job Group Analysis: Employers typically apply this 7% goal to every job group (e.g., “Sales,” “Management,” or “Technicians”) rather than the company as a whole to ensure representation across all levels of the organization.
- Data Collection: To measure progress, employers invite applicants and employees to voluntarily self-identify as having a disability through a standard form.
- Annual Assessment: Companies must conduct an annual “utilization analysis.” If the percentage of employees with disabilities falls below the 7% mark, the company is expected to investigate why and develop action plans to improve outreach.