Protecting Equal Opportunity from ESG Act

S 973 requires federal contractors to certify they have not used racial hiring quotas in the past five years and prohibits them from implementing such quotas during contract performance. It directly affects all entities awarded federal contracts or subcontracts, including employers covered under specific labor certificates. The bill mandates that contracts include an equal opportunity clause banning race-based hiring systems, while explicitly excluding environmental, social, and governance (ESG), diversity, equity, and inclusion (DEI), and corporate social responsibility (CSR) initiatives from the definition of "national interest." Violations could lead to contract cancellation, termination, or debarment by the Department of Labor.