Washington D.C. – For the first time in some 25 years, OSHA financial penalties (fines) on employers will increase dramatically as a result of a recently signed congressional budget deal.

The new law, signed by president Barack Obama, will allow OSHA to issue an interim final rule to increase its penalties to account for cost of living increases (inflation) over the past quarter century (an increase of about 80%), and it removes a restriction that kept OSHA from increasing its penalties to account for inflation. Now the agency can increase penalties based on the consumer price index year after year in perpetuity.

How Much Will Penalties Increase?

The new penalty structure, which is to be implemented by August of this year, would likely be increased as follows:

• Other Than Serious and Serious Penalties: Currently up to $7,000 each -would likely increase to $12,600 each.
• Willful & Repeat Penalties: Currently up to $70,000 each -would likely increase to $127,000 each.

The agency’s leap to such a high increase in penalties this year, along with yearly cost of living increases, would likely have the affect OSHA wants on most employers: Shifting the specter of being fined by OSHA from “A cost of doing business” to actually managing safer workplaces by following OSHA standards as a minimum threshold for acceptable safety performance.

Safety First Consulting helps businesses identify OSHA compliance issues in their workplaces, manage their safety programs, and we become accountable for the results. In addition to offering custom written safety programs for companies, Safety First Consulting provides required safety training, industrial hygiene sampling, noise sampling, and workplace inspections.

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