Rex P. Fennessey

Rex P. Fennessey Associate

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U.S. Department of Labor Increases Civil Monetary Penalties for OSHA, FLSA & ERISA Violations Effective August 1, 2016

The Department of Labor has recently adjusted their civil monetary penalties for inflation.  The Department’s interim final rule has significantly increased the penalties for over 60 kinds of violations of labor and employment laws, including certain violations of the Occupational Safety and Health Act (OSHA), Fair Labor Standards Act (FLSA) and the Employee Retirement Income Security Act (ERISA).

Notably, the Occupational Safety and Health Administration will see the first increase to the civil penalties it assesses in nearly 25 years; with maximum fines for serious violations rising almost 80 percent from $7,000 to $12,471 and the maximum fine for willful or repeated violations from $70,000 to $124, 709.  Penalties for willful or repeat violations of the FLSA will increase from $1,100 to $1,894.  Penalties for violating the Immigration and Nationality Act’s prohibitions on displacing a U.S. worker with an H1B visa holder have also increased substantially.

The inflation adjusted penalty that will go into effect for most penalties assessed no later than August 1, 2016.  A list of all changes to penalties can be found at: https://www.dol.gov/sites/default/files/2016-inflation-penalty-chart.pdf

The St. Louis employment attorneys at McMahon Berger have been representing employers across the country in labor and employment matters for nearly sixty years and are available to discuss these issues and others.  As always, the foregoing is for informational purposes only and does not constitute legal advice regarding any particular situation as every situation must be evaluated on its own facts. The choice of a lawyer is an important decision and should not be based solely on advertisements.

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