On January 21, 2025, President Trump signed a new executive order titled “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” which repealed Executive Order 11246. This marks a significant shift in the hiring landscape, especially for federal contractors and subcontractors. For recruiters, HR leaders, and talent acquisition professionals, understanding the implications of this repeal is critical to maintaining compliance, adapting hiring strategies, and preparing for changes to diversity, equity, and inclusion (DEI) practices.

Below we will break down the key changes, how they affect the recruitment process, and how recruiters can leverage technology and data to stay ahead in a new compliance environment.

Summary of key changes

The repeal of EO 11246 affirmative action requirements does not mean an end to all federal hiring obligations, but it does mean changes in how compliance is approached and what hiring practices are prioritized.

Key points from the new executive order include:

1. End of affirmative action requirements: The cornerstone of Executive Order 11246, which required federal contractors to implement affirmative action programs, has been eliminated.
2. Merit-based hiring emphasis: The new directive shifts focus toward neutral hiring processes based on qualifications, productivity, and ability, rather than demographic representation.
3. Transitional period: The regulatory framework effective as of January 20, 2025, remains enforceable for 90 days post-repeal, allowing employers time to review policies and adjust practices.
4. 120-day federal review: The administration will review current DEI policies, federal civil rights enforcement, and related regulatory frameworks. Employers should expect further guidance following this period.
5. Civil compliance investigations: Federal agencies are expected to launch investigations into select employers during the review period.
6. Education sector alignment: Guidance for educational institutions receiving federal funding will also be updated to align with recent legal rulings on race-conscious admissions.

Despite these changes, several compliance obligations remain firmly in place:

• Section 503 of the Rehabilitation Act and VEVRAA: These laws still require affirmative action for individuals with disabilities and protected veterans.
• Mandatory reporting requirements: Employers must continue filing EEO-1 and VETS-4212 reports.
• Job listing requirements: Contractors are still required to list jobs with state employment services.

Failure to comply with these requirements can result in penalties, loss of contract eligibility, or reputational damage. Recruiters must stay vigilant.

Impact on recruiters and talent acquisition professionals

The repeal of Executive Order 11246 impacts not just legal departments, but also the front lines of hiring, recruiters, talent acquisition teams, and HR leaders. Here’s how the EO 11246 affirmative action rollback translates into day-to-day recruitment.

What changes should recruiters expect?

1. Increased scrutiny during the transition: The federal government’s 120-day review means greater oversight and potential investigations. Recruiters must ensure all hiring activity is compliant with still-active regulations.

2. Shift toward objective hiring: With merit-based hiring now prioritized, subjective or quota-based hiring processes will be discouraged. Recruiters will need to document decisions based on job-related qualifications and candidate performance.

3. OFCCP audit readiness: The Office of Federal Contract Compliance Programs (OFCCP) may change its auditing approach. Recruiters for federal contractors should maintain organized documentation of job advertisements, candidate evaluations, and hiring rationales.

4. Implications for DEI-focused hiring: While DEI remains a business priority for many organizations, its regulatory protection is weakened under the new order. Recruiters will need to strike a balance between inclusivity and adherence to updated federal standards.

How can recruiters adapt?

In this shifting legal landscape, recruiters can’t afford to rely on outdated systems or manual processes. Leveraging recruitment technology and data-driven strategies will be essential to maintaining compliance and hiring efficiency.

Ensure ongoing compliance with remaining obligations

One of the simplest ways to support compliance is by automating routine but essential tasks:

• Automated job distribution tools can ensure that job listings reach required state employment agencies and are published across appropriate platforms.
• Integrated reporting functions within applicant tracking systems can help generate EEO-1 and VETS-4212 reports accurately and on schedule.

Broadbean’s job distribution platform helps streamline the posting process across multiple channels, including state job boards, reducing human error and saving recruiters valuable time.

Leverage data-driven insights

With merit-based hiring as the new standard, recruiters must rely on objective data to evaluate and compare candidates. Using intelligent recruitment software can support this shift by:

• Ranking applicants based on bespoke, role-specific criteria.
• Tracking engagement metrics such as click-through rates, application drop-off points, and source effectiveness.
• Creating internal benchmarks and scoring models based on top-performer profiles.

Broadbean’s applicant ranking tool uses machine intelligence to filter and prioritize top candidates based on skills, experience, and employer-defined metrics, helping recruiters remain compliant while maintaining efficiency.

Optimize talent sourcing

• Programmatic job advertising allows recruiters to automatically place ads where they’re most likely to generate quality applicants, helping align sourcing efforts with merit-based hiring principles.
• Resume search tools create centralized candidate databases with keyword and tag filters.
• Recruiters can quickly identify individuals with the right qualifications, ensuring a faster, more objective matching process.

Broadbean’s talent search functionality enables teams to build and mine a private resume database, making it easier to revisit and match past applicants to new opportunities, improving hiring accuracy and reducing time-to-fill.

Actionable next steps

To navigate the executive order 11246 impact, recruiters must take a proactive approach. Use this checklist to stay ahead:

1.  Review internal policies

• Audit hiring procedures and documentation practices.
• Ensure current practices align with merit-based hiring and legal requirements.
• Remove or revise any processes that rely on demographic targets.

2.  Monitor the 120-day review period

• Stay informed of announcements from the Department of Labor, OFCCP, and the Equal Employment Opportunity Commission (EEOC).
• Subscribe to compliance updates from trusted sources like Veritone Hire.

3.  Automate job distribution and reporting

• Use technology to post jobs across required federal and state platforms.
• Automate the generation of compliance documentation to avoid manual errors.

4.  Use analytics to optimize hiring

• Track job ad performance to determine the most effective channels.
• Use data to make informed hiring decisions and support fair evaluations.

5.  Train hiring teams

• Provide updated training on compliance obligations and documentation standards.
• Educate teams on how to evaluate candidates fairly and objectively.

6.  Consult legal and compliance experts

• Seek professional advice to interpret regulatory changes and prepare for potential audits.

Navigating the future of hiring

The repeal of Executive Order 11246 marks a new chapter in federal employment law. While the shift away from mandated affirmative action creates new challenges, it also opens the door for recruiters to embrace transparency, efficiency, and objectivity in hiring practices. For detailed legal guidance on the repeal of EO 11246 and DEI policy updates, we recommend consulting Veritone’s coverage or speaking directly with a compliance specialist.

By staying informed, leaning on automation, and using robust recruitment tools, HR teams can continue to meet federal requirements while driving better hiring outcomes. In an environment of change, technology provides the consistency and clarity recruiters need.

Broadbean’s suite of recruitment solutions is designed to help organizations meet today’s compliance standards and tomorrow’s talent challenges. To explore how your team can stay compliant and competitive, contact Broadbean.