In the News: Cara Crotty Discusses DOJ’s New DEI Recruiting Guidance with Bloomberg Law
Constangy partner Cara Crotty was recently featured in a Bloomberg Law article titled “Employers Seeking Diversity Via Proxy Draw Fresh DOJ Scrutiny,” which examines theTrump administration’s latest guidance on diversity, equity, and inclusion (DEI) practices and its potential impact on employer recruiting strategies.
The DOJ memo, issued July 29, 2025, is nonbinding guidance for federal agencies on how to evaluate recipients of federal contracts and grants for compliance with civil rights laws, cautioning that certain “facially neutral” recruitment criteria—such as focusing on graduates of historically Black colleges and universities (HBCUs), geographic diversity, or cultural experiences—may be considered unlawful if used as a proxy for protected traits like race or gender.
Cara noted that agencies such as the Equal Employment Opportunity Commission (EEOC) have, in the past, allowed or even required certain proxy-based recruiting, but the new guidance introduces “uncertainty around recruitment” for employers. “If the employer only recruits from HBCUs, I think the administration would challenge that,” she said. Cara also explained that whether the government can bring a bias case over neutral criteria will depend on the intent and specific facts behind its use, adding that EEOC cases in this area have historically been “few and far between” and often arise where recruiting practices reinforce a homogeneous status quo.
To read the full article on Bloomberg Law’s website, click here.
Cara Crotty co-chairs Constangy’s Diversity, Equity & Inclusion and EEO/Contractor Compliance, Reporting & Analytics practice groups. She advises employers on affirmative action, equal employment opportunity, and diversity compliance, and defends them in a wide range of employment matters. Cara also assists federal contractors with affirmative action plans, compliance reporting, and pay equity analyses, and is a frequent speaker and trainer on these topics.
