For a second consecutive year, maximum fines for Department of Labor safety and health agencies
increased to keep pace with inflation.Maximum Workplace Safety Fines Increase by 1% Again
by Bruce Rolfsen
This article was originally published at Bloomberg Enviroment
For a second consecutive year, maximum fines for Department of Labor safety and health agencies increased to keep pace with inflation.
The 1.02 percent increase is in line with the Consumer Price Index inflation rate as of October 2017, the department said in Jan. 2 notice (83 Fed. Reg. 7) detailing the updated penalties.
The higher fines became effective Jan. 2, following the mandate of a 2015 law requiring the department to annually raise fines starting in 2017. Prior to the law, Occupational Safety and Health Administration fines hadn't increased since 1990.
The 28 states and territories with their own workplace safety and health agencies are expected to follow the federal government's lead and raise their fines, the notice said.
OSHA has allowed states to take their time adopting past increases, because some states requires approval of the state's legislature, or a rulemaking board that meets infrequently, to raise fines.
The new maximum OSHA penalties are:
•?repeat: $129,336, up from $126,749,
•?willful: $129,336, up from $126,749,
•?serious: $12,934, up from $12,675, and
•?other-than-serious: $12,934, up from $12,675.
Most employers won't face having to pay OSHA fines close to the new maximums because fines are based on several factors such as the severity of the hazard posed to workers and the number of employees at the business.
For example, according to OSHA data in fiscal year 2017 the average serious fine was $3,553, about 28 percent of the former penalty cap.
Mine Fine Boost
Among the new maximum Mine Safety and Health Administration fines, which also increased 1.02 percent, are:
•?flagrant: $259,725, up from $254,530,
•?regular assessment: $70,834, up from $69,417, and
•?failure to correct a violation: $7,673, up from $7,520.