On March 27, 2012, Richard Fairfax, a deputy assistant labor secretary at the Occupational Safety and Health Administration, announced a greater penalty reduction for small employers. Effective April 1, 2012, employers with 25 or fewer workers will be eligible for a penalty reduction of up to 60 percent if they take acceptable steps to mitigate the violations.
The previous penalty reduction of 40 percent was set in October of 2010 when OSHA announced several changes to how penalties are calculated. By increasing the maximum reduction to 60 percent, OSHA is returning to the limit in place prior to the October 2010 change. The increase in reduction for small employers is part of a continuing review of OSHA penalty policies. Fairfax indicated that “we’ve been evaluating it all along.”