EEO-1 Reporting: What Employers Need to Know

What employers should know about key developments this week:

EEOC Proposes Eliminating EEO-1 Reports: The Equal Employment Opportunity Commission (EEOC) is proposing the complete elimination of EEO-1 reports (which include employee demographic data, such as race and gender), along with the rescission of EEO-2, EEO-3, EEO-4, and EEO-5 reports.
Fifth Circuit Rules on Remote Work Accommodations: The U.S. Court of Appeals for the Fifth Circuit found that in-person attendance is an essential job function and that COVID-era accommodations do not define that standard today—a ruling that could prove informative as more employers implement return-to-office policies.
New Non-Compete Restrictions in Tennessee: Beginning July 1, 2026, non-compete agreements will be unenforceable in Tennessee for employees who earn less than $70,000 a year (inclusive of wages, salary, commissions, nondiscretionary bonuses, and other forms of remuneration).

EEO-1 Reports, Remote Work, and Non-Compete Restrictions in Tennessee
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June 3, 2026

Transcript

[00:00:03] George Whipple: Welcome to Employment Law This Week. I’m George Whipple. EEO-1 reporting requirements could soon be lifted. These reports include employee demographic data, such as race and gender. Employers with more than 100 employees have submitted annual EEO-1 reports since 1966. The Equal Employment Opportunity Commission is now proposing the complete elimination of these reports, along with the rescission of EEO-2, -3, -4, and -5 reports.

[00:00:40] This action follows the Trump administration’s directive to eliminate DEI initiatives. However, to become law, this proposal must make it through many administrative steps —including a 60-day comment period —before September 30. Employers should thus proceed with plans to report 2025 EEO-1 data. Also in line with this directive, the EEOC is proposing to repeal protections for employers implementing affirmative action plans in the workplace.

[00:01:15] We’ll keep watching both proposals for updates. The Fifth Circuit rules on remote work accommodations - After an employer denied a worker’s request for full-time remote work, reasoning that one of his essential job functions was in-person work, the employee sued the company for disability discrimination, failure to accommodate, and retaliation.

[00:01:41] Upholding the lower court's ruling, the Fifth Circuit denied the employee’s claims. The court found that in-person attendance is an essential function of most jobs, and that COVID-era accommodations do not determine what are considered essential job functions today. This ruling could prove informative as more employers implement return-to-office policies.

[00:02:07] Tennessee joins the nationwide trend of restricting non-competes - Tennessee employers will soon have new requirements for non-compete agreements. Beginning July 1 of this year, non-compete agreements will be unenforceable in the Volunteer State for employees who earn less than $70,000 a year, inclusive of wages, salary, commissions, nondiscretionary bonuses, and other forms of remuneration.

[00:02:37] In addition, restrictive covenants with Tennessee employees and independent contractors will be considered unreasonable if they cover a period of more than two years. The new law will also permit Tennessee courts to modify restrictive covenants to render them reasonable and enforceable.

[00:02:57] That’s it for this week. Thanks for watching. We’ll see you next time.

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