In a sobering case that underscores the importance of prioritizing employee safety and compliance with employment laws, the U.S. Department of Labor (DOL) has reached a settlement against a former New York contractor. The settlement, which serves as a cautionary tale for small and midsize business owners, upholds citations against the contractor for willfully exposing employees to dangerous conditions that tragically led to a fatal trench collapse in 2018. 

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Contractor Failed to Provide Safe Conditions to Employees Working in a Trench 

The DOL’s Occupational Safety and Health Administration (OSHA) had initially cited the contractor in March 2019 for willfully failing to provide an adequate protective system for employees working in a trench. Moreover, the company was found to have exposed its workers to other serious excavation hazards, which ultimately contributed to the death of an employee in the September 2018 trench collapse. In response, the company contested OSHA’s citations, leading to a protracted legal battle before the Occupational Safety and Health Review Commission. 

The legal proceedings took an unexpected turn when the District Attorney’s office pursued a criminal case against the contractor owner. In March 2023, the owner was convicted of criminally negligent homicide and other charges related to the trench collapse incident. 

The resolution of this case serves as a stark reminder of the consequences that can befall businesses that neglect their obligations under employment laws and safety regulations. An administrative law judge issued an order concluding the commission case following the execution of a civil settlement between the DOL and the contractor. The settlement not only upholds the citations but also mandates that the company pay $50,000 in penalties for the violations. 

Importantly, the settlement includes a commitment from the employer that it has ceased operations and will refrain from undertaking any future construction work. Additionally, the owner has agreed not to own, operate, supervise, or manage any company engaged in construction work. 

The judge’s order, which was sent to the commission on July 21, 2023, is set to become a final order on August 21, 2023, unless a commission member directs a review of the decision before that date. 

What Happened Next 

In response to the settlement, OSHA Regional Administrator Richard Mendelson in New York emphasized, “This settlement affirms OSHA’s citations, which found that this employer knowingly failed to construct the trench protection system properly and did not use other safeguards that would have prevented a worker’s death in a cave-in. It also confirms that neither the contractor nor its owner will ever engage in construction work again.” 

Regional Solicitor of Labor Jeffrey S. Rogoff in New York echoed the sentiment, stating, “The outcome in this investigation should remind all employers that the U.S. Department of Labor will pursue all available legal remedies and work cooperatively with other agencies to enforce laws designed to protect workers.” 

Conclusion 

The case of the contractor serves as a powerful cautionary tale for small and midsize business owners. Neglecting safety protocols and employment laws can result in dire consequences, both legally and morally. It is imperative for businesses to prioritize the well-being of their employees and ensure strict compliance with regulations. By doing so, they not only protect their workers but also safeguard their reputation and financial stability in the long run. 

Asure’s HR experts help business owners comply with federal, state, and local employment laws. Learn how to protect your business here.

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