OSHA Updates Penalty and Enforcement Policies

The U.S. Occupational Safety and Health Administration (OSHA) updated its penalty calculation and debt collection procedures, signaling a renewed focus on ensuring workplace safety through both deterrence and compliance incentives. These updates affect all industries subject to OSHA regulation, including the linen, uniform and facility services industry.

Under the revised framework, penalties begin with a Gravity-Based Penalty (GBP), which is determined by assessing the severity of a potential injury or illness and the likelihood of its occurrence. Once the GBP is calculated, adjustments are applied based on the employer size, good-faith efforts and history of prior violations. Employers with 1-25 employees may qualify for a 70% reduction in penalties, while those with 26-100 employees can receive a 30% reduction. Companies with 101-250 employees are eligible for a 10% reduction and those with more than 250 employees receive no size-based reduction.

OSHA also allows for a 25% good-faith reduction if the employer has a written and effective safety and health management system (SHMS). This system must include core elements such as leadership commitment, hazard identification, prevention controls and worker training. However, no good-faith reduction is permitted if the violations are classified as willful, repeated or high gravity. Employers on the Severe Violator Enforcement Program (SVEP) list are also excluded from receiving this credit.

History-based adjustments further impact penalty calculations. A 20% reduction is granted if an employer has no serious violations or has never been inspected in the past five years. On the other hand, a 20% increase applies if the employer has received high-gravity serious citations that became final orders within the past five years.

Additionally, OSHA has reaffirmed its “Quick-Fix” policy, which encourages employers to immediately correct hazards identified during inspections. A 15% penalty reduction is available for violations that are abated onsite or within five days, with an extension up to 15 days allowed in circumstances where products must be ordered to complete the fix. Quick-Fix only applies to other-than-serious, low or moderate-gravity serious violations, and does not apply to willful, repeated or fatal-related cases. To qualify, employers must submit documentation showing full abatement within the required timeframe and ensure no employees are exposed to the hazard in the interim. The reduction is only granted with approval from the compliance officer and Area Director.

Employers should review their compliance procedures and safety systems to ensure they meet OSHA’s updated standards and avoid preventable penalties.

For a summary of the updated policies and facts visit: Updated OSHA Penalty Procedure Summary. Questions? Contact TRSA’s Vice President of Government Relations at kschwalb@trsa.org.