OSHA Updates Penalty Guidelines to Support Small Businesses

July 14, 2025 — The U.S. Department of Labor has updated its OSHA (Occupational Safety and Health Administration) penalty guidelines to ease the burden on small businesses.

In a move to support job creators and reduce unnecessary government pressure, the Department revised OSHA’s field operations manual. Deputy Secretary of Labor Keith Sonderling explained:

“Small employers who are working in good faith to follow complex federal laws shouldn’t face the same penalties as large corporations. By lowering penalties, we’re helping the small business owners who power our economy while still holding them accountable for safety.”

What’s Changing?

· Bigger Penalty Reductions for Small Businesses

Small employers will now receive larger reductions in OSHA fines.

· New 15% Reduction for Quick Action

If a business immediately fixes a safety issue, they can gain an extra 15% off their penalty.

· More Grace for Clean Records

Businesses with no history of serious or repeated violations will now qualify for expanded penalty reductions.

These changes are effective immediately.

What This Means for Small Business Owners

The Good News:

This is a win for small businesses. It shows that Washington is finally recognizing that small shops and family-run operations shouldn’t be treated the same as billion-dollar corporations. These changes could help businesses stay open, protect jobs, and invest more in safety instead of paying steep fines.

A Word of Caution:

Let’s be honest—when people think they can get away with more, some will try. That’s human nature. But safety isn’t something to take lightly. These fines may be reduced, but they’re still serious. If I owned a small business, I’d treat this as a second chance, not a free pass.

Use this opportunity to learn from mistakes, correct problems fast, and build a strong safety culture. As the old saying goes, “An ounce of prevention is worth a pound of cure.” The more you invest in keeping your workplace safe, the fewer problems you’ll face down the road.

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