During the COVID-19 pandemic, there has been a large influx of complaints due to OSHA-standard violations. At the beginning of 2021, OSHA increased the maximum of civil penalties that can be incurred against employers.
As of January 15, 2021, penalties increased as follows:
- Serious & Other-Than-Serious Posting Requirements: $13,494 → $13,653 per violation
- Failure To Abate: $13,494 → $13,653 per day beyond the abatement date
- Willful Or Repeated: $134,937 → $136,532 per violation
State OSHA plans were also required to make these increases to align with federal OSHA regulations.
Fines alone are already substantial, but receiving a citation can have a huge impact on a business’ future. These risks include:
- Costs Of Abatement: To certify complete abatement, the majority of employers are required to make considerable changes in materials, equipment, and practices. These charges will inherently cost more time and money which can negatively affect your workers’ productivity and your business’ revenue.
- Costs Of Willful Citations: Beyond the up-front costs associated with intentionally & knowingly disregarding regulations, these citations can result in significantly enhanced fines, punitive damages, and criminal violations.
- Future Litigation: OSHA citations can result in collateral damage including civil lawsuits related to liability, workers’ compensation, personal injury or wrongful death lawsuits, and indemnification proceedings. This can also create the possibility of parallel inspections or sanctions from other regulatory authorities, adding fuel to the fire.
- Tarnished Reputation: Failure to comply with OSHA standards can damage relationships with employees, shareholders, contractors, and partners. This can prevent the acquisition of new business contacts and jeopardize current ones. Not only will this affect a company’s bottom line, but it will also affect their ability to conduct business in the future (or at all).
According to the Federal Civil Penalties Inflation Adjustments & Improvements Act, these annual adjustments are made to improve the effectiveness of civil money penalties. To avoid the potential pitfalls, you must implement a proper disease preparedness and response plan, as well as protocols for medical clearance and mask usage. Upholding these standards will keep your business safe, as well as your employees and clients.
Employers, especially in healthcare settings, need to protect their places of business and their people. Learn how in our recent blog post.