On August 21, 2026, the Department of Labor published a final rule in the Federal Register titled "Rescission of Executive Order 11246 Implementing Regulations." Its effective date is stated plainly: "This rule is effective on October 26, 2026." That is one week from today.
For more than fifty years, Executive Order 11246 and its regulations shaped how federal contractors recruited, tracked, and documented hiring. The order itself is already gone. As the rule explains, "On January 21, 2025, President Trump issued E.O. 14173," which "revoked Executive Order 11246." The October 26 rule removes the regulations that implemented it, which the Office of Federal Contract Compliance Programs (OFCCP) enforced.
It is tempting to read this as the end of contractor hiring compliance. It is not, and the parts that remain sit squarely inside the resume screening and applicant tracking process.
What Goes Away on October 26
The rescission removes the Executive Order 11246 regulatory framework: the affirmative action programs for race, sex, religion, and national origin, along with the reporting and recordkeeping duties that rested on the order. The rule describes, for example, that "Section 60-1.12 outlines the record retention requirements that apply to covered contractors under E.O. 11246." With the regulations rescinded, that specific Executive Order 11246 retention rule goes too.
Crowell and Moring's summary of the rule package put the first action item simply: discontinue Executive Order 11246-based affirmative action programs for race, sex, religion, and national origin, if a contractor has not done so already.
What Stays: Veterans
The Department of Labor did not rescind the veteran rules under the Vietnam Era Veterans' Readjustment Assistance Act (VEVRAA). It published a separate final rule the same day, effective September 21, 2026, that mostly makes technical changes. That rule notes, "Effective October 1, 2025, the coverage threshold under VEVRAA increased from $150,000 to $200,000."
The duties that matter most to a hiring team survived. Duane Morris summarized the VEVRAA rule this way: "Notably, unlike under Section 503, the final rule left in place the obligations for federal contractors to track applicant data and solicit veteran status from new hires. Outreach and hiring benchmarks, VETS-4212 reporting and reasonable accommodation obligations remain as well." Crowell and Moring reached the same conclusion: "contractors will still be required to track applicant data and solicit veteran status from applicants and hires." Its recommended action for contractors is direct: "Continue to prepare VEVRAA affirmative action plans."
We have written before about why veteran hiring pipelines stall at the ATS layer. The October 26 rule does not change that obligation. A contractor that removes veteran self-identification from its application flow in the cleanup could create a gap in the records it still has to keep.
What Changes for Disability
The third rule in the package narrowed the Section 503 regulations that cover individuals with disabilities, and here the changes are real. Crowell and Moring advises contractors to "Update Section 503 AAPs to eliminate the 7% utilization goal, utilization analyses, and disability data collection," and to stop inviting all applicants and employees to self-identify as having a disability. Duane Morris notes that the nondiscrimination duty itself remains: "covered contractors remain subject to disability nondiscrimination, reasonable accommodation and written affirmative action plan requirements for contractors meeting the 50-employee and $50,000 threshold."
The practical point for an applicant tracking system is that the veteran and disability changes move in different directions. Veteran self-identification stays. The disability invitation for all applicants goes. A single "remove the affirmative action fields" change request would get one of those wrong.
What Stays: Fair Screening Under Federal and State Law
The rescission addresses the Department of Labor's own regulations. It does not repeal Title VII of the Civil Rights Act, the Americans with Disabilities Act, or state anti-discrimination laws. The rule is also specific about the Uniform Guidelines on Employee Selection Procedures, the federal standard for evaluating whether a selection procedure has adverse impact. The Department rescinded its copy of those guidelines only to the extent they were part of the Executive Order 11246 regulations, and it added: "This action does not impact other agencies' interpretation and application of UGESP, or the existence of UGESP more broadly." The Equal Employment Opportunity Commission's version of the guidelines remains in the Code of Federal Regulations.
For employers in California, state law carries more weight than ever. The Civil Rights Council's automated-decision system regulations under the Fair Employment and Housing Act already apply to resume screening and other selection tools, regardless of federal contractor status.
What This Means for Resume Screening
Most contractor compliance work ends up in the same place: the applicant tracking system and the screening step that decides who moves forward. Three things follow from the rule package.
The applicant record still matters. Contractors covered by VEVRAA still track applicants and solicit veteran status. That means the system has to capture who applied, for which requisition, and what happened to each applicant, in a form someone can produce later.
The screening logic still needs a reason. Whether the tool is a keyword filter, a knockout question, or an AI score, the selection procedure still answers to Title VII, the Uniform Guidelines as applied by other agencies, and state law. A screen that cannot explain why it rejected a qualified candidate is a risk with or without OFCCP.
Retention is not a reason to delete. The rescission removes one specific retention rule. Other federal and state retention requirements, litigation holds, and the VEVRAA outreach records still apply, so the safest assumption is that nothing gets purged on October 26 without counsel signing off.
An Employer Checklist for This Week
Confirm your coverage. Check whether you hold federal contracts or subcontracts above the $200,000 VEVRAA threshold, and which obligations still apply to you.
Keep veteran self-identification in the application flow. Do not remove veteran status fields or reports while cleaning up Executive Order 11246 items.
Update the disability workflow separately. Apply the Section 503 changes on their own track, with counsel, so the veteran workflow is not caught in the same change.
Freeze deletions. Do not purge applicant records, disposition codes, or screening logs on the effective date. Confirm retention periods with counsel first.
Document how your screening works. Write down what each screening step measures, why it relates to the job, and how you check results for adverse impact.
Re-check state and local rules. California, New York City, Colorado, and Illinois all have rules that reach hiring tools on their own terms.
Where TrueScan HR Fits
TrueScan HR scores a resume against the job and shows the matched and missing skills behind every score, so a reviewer can see why a candidate moved forward or did not. When the federal rulebook shifts, that kind of explanation is what lets a hiring team show its screening was based on the job.
The Bottom Line
October 26 ends the Executive Order 11246 regulations, not the duty to hire fairly or the duty to track veterans. Contractors that treat the date as a reason to strip their applicant tracking system could remove records they still need. The better use of this week is a careful review of which fields, reports, and screening steps stay, and a written record of why each one is there.
This post is general information, not legal advice. Confirm how the rules apply to your organization with employment counsel.
Sources:
- Rescission of Executive Order 11246 Implementing Regulations, Final Rule, Federal Register document 2026-17114, August 21, 2026, U.S. Department of Labor
- Modifications to the Regulations Implementing the Vietnam Era Veterans' Readjustment Assistance Act of 1974, as Amended, Federal Register document 2026-17116, August 21, 2026, U.S. Department of Labor
- OFCCP Finalizes Three Rules Resetting Federal Contractor Affirmative Action Requirements, Duane Morris, August 25, 2026
- OFCCP Completes Overhaul of Federal Contractor Compliance Framework, Crowell and Moring, August 21, 2026