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Recruiting under Section 503 and the Vietnam Era Veteran’s Readjustment Assistance Act (VEVRAA) can feel like a balancing act, combining compliance expectations with the goal of building a workforce that reflects different experiences, skills, and perspectives. 

For federal contractors, Section 503 and VEVRAA requirements are an integral part of recruiting practices. For HR, they also shape how inclusion is incorporated into everyday hiring strategies and decisions.  

Veteran and disability recruitment are smart business moves that strengthen teams, initiate new ideas, and improve overall outcomes across the company. 

Here's What You'll Learn

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On January 7, 2026, OFCCP published a routine Notice in The Federal Register informing government contractors and subcontractors that it intends to seek re-approval of all federal contractor and subcontractor veterans affirmative action plan preparation requirements. The Notice follows a series of other activities, all of which indicate that OFCCP anticipates having continued oversight of federal contractor affirmative action obligations for veterans and individuals with disabilities. 

Joshua Roffman OFCCP Continues to Enforce Veterans Affirmative Action Obligations

Updated November 25, 2025

If your business holds federal contracts, now is the time for you to review OFCCP's new jurisdictional thresholds for Section 503 and VEVRAA that went into effect on October 1, 2025. The new threshold requirements are listed below for Section 503 and VEVRAA. 

New Jurisdictional Thresholds & AAP Requirements

Section 503: The basic coverage threshold rose from $15,000 to $20,000. AAP requirements continue for contractors and subcontractors with at least 50 employees and a single contract of $50,000 or more.​

VEVRAA: The threshold increased from $150,000 to $200,000. AAP requirements apply to contractors and subcontractors with at least 50 employees and a single federal contract of $200,000 or more.

Do you know what Section 503 of the Rehabilitation Act and the Vietnam Era Veterans' Readjustment Assistance Act (VEVRAA) mean for your organization? These two regulations are key to ensuring fair hiring practices and fostering inclusive workplaces, especially when it comes to IWD and protected veterans. If you're curious as to how these laws might impact your compliance strategy, read on! 

John Piatt, SHRM-SCP What is Section 503 and VEVRAA?

Updated November 25, 2025

If your business holds federal contracts, now is the time for you to review OFCCP's new jurisdictional thresholds for Section 503 and VEVRAA that went into effect on October 1, 2025. The new threshold requirements are listed below for Section 503 and VEVRAA. 

New Jurisdictional Thresholds & AAP Requirements

Section 503: The basic coverage threshold rose from $15,000 to $20,000. AAP requirements continue for contractors and subcontractors with at least 50 employees and a single contract of $50,000 or more.​

VEVRAA: The threshold increased from $150,000 to $200,000. AAP requirements apply to contractors and subcontractors with at least 50 employees and a single federal contract of $200,000 or more.

Although compliance may not be the most exciting part of HR management, it’s still one of the most important, especially if you're a federal contractor. With some of the recent regulatory changes, including the January 2025 rescission of Executive Order 11246, you may be wondering where that leaves your obligations under Section 503 of the Rehabilitation Act and the Vietnam Era Veterans' Readjustment Assistance Act (VEVRAA). 

John Piatt, SHRM-SCP Compliance with Section 503 and VEVRAA: Still Required

HR compliance failures begin in the margins with small errors, missed deadlines, or incomplete reports. But these minor issues can snowball into failed audits, penalties, and lost government contracts. For HR leaders navigating federal reporting requirements, the margin for error is thin, and the consequences are significant. 

OutSolve Federal Reporting Requirements: Why Contractors Use OutSolve

“The only certainty right now in the federal government is uncertainty." –Jeremy Mancheski

 

OutSolve Webinar: Key Takeaways on DEI, Affirmative Action & Non-Discrimination

In a significant move towards workplace equity, the U.S. Equal Employment Opportunity Commission (EEOC) has introduced regulations to implement the Pregnant Workers Fairness Act (PWFA). Effective June 18, 2024, these regulations mandate that employers provide reasonable accommodations not only for pregnancy but also for related medical conditions. Here's a concise guide for employers on navigating these new requirements and understanding how they compare to the Americans with Disabilities Act (ADA) and Section 503 of the Rehabilitation Act (Section 503).

Debra Milstein Gardner Pregnancy Workers Fairness Act, the ADA, and Section 503 of the Rehabilitation Act Explained