OSHA Revises Penalty Guidelines to Aid Small Businesses
July 14, 2025
The U.S. Department of Labor announced major updates to OSHA enforcement guidelines aimed at easing the burden on small contractors while still prioritizing workplace safety.
What Changed?
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Expanded small-business relief: Penalty reductions previously limited to firms with under 10 employees now apply to those with up to 25 employees.
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Early correction incentive: Contractors who promptly address OSHA-identified hazards post-citation can receive up to a 15% penalty reduction .
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Clean history bonus: Businesses with no serious violations over the past five years—or those never inspected—can qualify for an additional 20% reduction.
🔍 What This Means for SMCA Contractors
These changes encourage rapid issue resolution and reduce penalties for contractors acting in good faith, especially smaller operations that might otherwise struggle with compliance costs. Here’s how to take advantage:
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Prioritize swift correction of safety issues after an inspection.
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Maintain thorough safety and training records to support penalty reductions.
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Use penalty savings to reinvest in training, PPE, and hazard elimination.
What You Should Do Next
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Review your current safety programs to ensure immediate hazard response protocols are in place.
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Document corrective actions carefully following any OSHA inspection.
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Stay updated: OSHCOs and local safety reps are clarifying how new guidelines will be implemented in practice.
📄 Read OSHA’s full release and Field Operations Manual changes here