The Occupational Safety and Health Administration (OSHA) has released updated guidance on penalty and debt collection procedures to make it easier for employers, especially small businesses of 25 or fewer employees, to fix hazards quickly and stay in compliance. The new policy increases penalty reductions for small employers, allowing them to invest in resources to limit hazards and to keep workers safe.
The guidance includes a 70 percent penalty reduction, previously limited to businesses with 10 or fewer employees, to include those with up to 25 employees. It also introduces a new 15 percent penalty reduction for employers who promptly address or correct a hazard.
The new policies are effective immediately. Penalties issued before July 14, 2025, will remain under the previous penalty structure. Open investigations in which penalties have not yet been issued are covered by the new guidance.