OSHA announces new debt collection initiative
OSHA recently announced a new debt collection initiative it says is designed to better collect citation penalties. The agency is implementing a series of three penalty payment letters to be sent seven, 30, and 60 days after an establishment fails to timely pay a penalty based on a final order. OSHA also will contact establishments by phone 14 days after the payment comes due. Establishments that pay their penalties by their due date will not receive the new letters or phone call.
If an establishment fails to make a civil monetary penalty payment from an inspection resulting in a citation, and is not on an affordable payment plan, OSHA will place the establishment on a priority list for further inspection. In addition, OSHA compliance safety and health officers will gather employer identification numbers (EIN) as part of the pre-inspection preparation.
“Expediting the notifications to employers who have not paid OSHA fines will work to improve OSHA’s enforcement presence,” said Loren Sweatt, Principal Deputy Assistant Secretary for Occupational Safety and Health. “At the conclusion of an OSHA inspection where a final order is issued, employers must abate hazards to protect workers and pay assessed civil monetary penalties.”
The initiative is part of broader efforts across the Department of Labor (DOL). On December 23, the DOL announced a final rule intended to improve its debt-collection policy. Prior to the final rule, the existing rule provided that “second and subsequent demands shall generally be made at 30-day intervals from the first.” The final rule amends the current rule to more clearly allow agency heads or their designees to send demand letters at intervals separated by less than 30 days.