Rehabilitation Act of 1973 (Rehab Act) | Practical Law

Rehabilitation Act of 1973 (Rehab Act) | Practical Law

Rehabilitation Act of 1973 (Rehab Act)

Rehabilitation Act of 1973 (Rehab Act)

Practical Law Glossary Item 1-507-0228 (Approx. 3 pages)

Glossary

Rehabilitation Act of 1973 (Rehab Act)

The federal law that prohibits discrimination on the basis of disability:
  • In federal employment (Section 501 and 505).
  • By employers with federal contracts or subcontracts that exceed $10,000 (Section 503).
  • In programs or activities that receive federal funds or are conducted by federal agencies (Section 504).
Sections 501 and 505:
  • Prohibit employment discrimination against qualified individuals with disabilities in the federal sector.
  • Require affirmative action in the hiring and advancing in employment qualified individuals with disabilities.
(29 U.S.C. §§ 791 and 794a).
Sections 501 and 505 are enforced by the Equal Employment Opportunity Commission (EEOC).
Section 503:
  • Prohibits employment discrimination against qualified individuals with disabilities.
  • Requires affirmative action in the hiring and advancing in employment qualified individuals with disabilities.
  • Conditions payment under federal contracts on compliance with affirmative action obligations.
  • Bars contractors that do not comply with their affirmative action obligations from further contracting with the federal government.
Section 503 also imposes other requirements on covered contractors and subcontractors, including:
  • Depending on the size of the contractor and contract, developing a formal written affirmative action plan that meets specified requirements.
  • Maintaining certain employment records about persons with disabilities including job listings, applications, and employment files relevant to:
    • recruitment;
    • hiring; and
    • employment actions.
  • Posting notices in conspicuous places that pertain to:
    • the applicants' and employees' rights under Section 503; and
    • the employer's affirmative action obligation under Section 503.
  • Making employment records available for inspection by the Office of Federal Contract Compliance Programs (OFCCP) within the Department of Labor (DOL), which enforces Section 503.
(29 U.S.C. § 793; 41 C.F.R. §§ 60-741.1 to 60-741.83.)
Section 504 broadly prohibits discrimination based on disability under any program or activity:
  • Receiving federal financial assistance.
  • Conducted by any federal executive agency.
  • Conducted by the US Postal Service.
(29 U.S.C. § 794.)
Each federal agency enforces Section 504 in relation to the agency's own programs.
For more information, see Practice Notes, Discrimination Under the Rehab Act: Basics and Affirmative Action: Overview.