Under the Bipartisan Budget Act of 2015, OSHA was required to adjust civil penalties for violations of safety and health standards on or before July 1, 2016. The Bipartisan Budget Act allowed OSHA a one time “catch-up” to adjust for inflation since 1990. On July 1, 2016, OSHA announced the new maximum civil penalties which will take effect August 1, 2016. According to OSHA, the new maximum penalty structure for any citations issued after August 1, 2016 will be as follows:
|
Type of Violation |
Current Maximum Penalty |
New Maximum Penalty |
|
Serious Other-Than-Serious Posting Requirements |
$7,000 per violation |
$12,471 per violation |
|
Failure to Abate |
$7,000 per day beyond the abatement date |
$12,471 per day beyond the abatement date |
|
Willful or Repeated |
$70,000 per violation |
$124,709 per violation |
On an annual basis the maximum penalties will be adjusted for inflation based on the Consumer Price Index. Additionally, state plans (those states that operate their own occupational safety and health program) will be required to be raise their maximum penalty amounts to align with Federal OSHA.