For the first time in decades, the Occupational Safety & Health Administration (OSHA) is expected to raise its fine for safety violations this summer. The federal budget bill passed by Congress last November allowed OSHA to raise its fines and the increase could be as high as 80% in some cases.
OSHA will release its new fine schedule by July and begin using the new guidelines on August 1, 2016. For example, the current maximum fine for a Repeat or Willful violation could grow from $70,000 to as much as $125,000 for each violation. Similarly, the maximum penalty for a Serious violation will rise from $7,000 to $12,500 for each violation.
Employers should be aware that state-plan OSHA states will be required to adjust their state penalties so that they at least match those imposed under the federal standards. So this means that the cost of non-compliance is going to get more expensive at the same time that OSHA is hiring more inspectors.
Even though the new OSHA fines are steep, the fines for other agencies can be much worse, especially those levied by the Environmental Protection Agency or other federal authorities.
Workplace safety must become a high priority for your upper management, and this includes documenting everything from training to compliance measures.