Arizona Commission Faces Federal Backlash Over Cuts to Workplace Safety Penalties

An investigation by federal OSHA has revealed that the Industrial Commission of Arizona is reducing employers’ penalties for safety violations, thus compromising the penalties’ deterrent efficacy. This practice contradicts existing policies and reveals that the commission has been operating beyond its legal authority.

Peter Dooley, a Tucson-based workplace safety consultant, commented on the implications of these findings, emphasizing the need for state oversight regarding safety violations. The investigation was triggered by numerous public complaints, including one from Dooley himself in December.

The commission, which oversees the Arizona Division of Occupational Safety and Health (ADOSH), regularly reclassifies safety violations and reduces penalties without sufficient justification. A prior Star investigation indicated that over half the penalty proposals reviewed by the commission were modified, leading to reductions exceeding $186,000 between January and November of 2016.

Chairman Dale Schultz defended the commission’s methods, asserting that their focus remains on workplace safety and collaboration, rather than merely imposing maximum penalties. He criticized OSHA’s recent approach, arguing it undermines state-level innovation in safety strategy.

Arizona’s occupational safety and health program, one of 26 state-level systems, must operate with at least equal effectiveness compared to federal OSHA standards. Experts noted that the commission’s practice of reducing penalties pre-emptively is unusual in comparison to similar programs nationwide.

The OSHA findings, articulated in a letter from area director Zachary Barnett, indicated that penalty reductions were frequently made arbitrarily, undermining the overall enforcement effectiveness. This practice diminishes the deterrent effect intended by higher penalties, creating inequities among employers.

In response to OSHA’s investigation, Industrial Commission spokesperson Bob Charles stated that they are reviewing the findings, asserting that declining workplace injury rates in Arizona evidence the commission’s effectiveness. However, workplace safety advocates argue for maintaining significant penalties as a necessary deterrent against non-compliance.

Concerns were raised over specific instances, such as the reclassification of serious violations and substantial reductions in penalties following employer discussions at commission meetings. OSHA has mandated that the commission halt these practices and clarify its criteria for penalty adjustments.

As of now, the Industrial Commission has 30 days to respond to OSHA’s findings. Changes to the state OSHA plan will be recommended to outline the commission’s role and the criteria for citation adjustments. This matter is crucial, as the overall effectiveness of workplace safety enforcement in Arizona hangs in the balance.

Contact reporter Emily Bregel at ebregel@tucson.com or 573-4233. On Twitter: @EmilyBegel