the high cost of non-compliance in the construction industry
In construction , regulatory compliance refers to the rules set forth and enforced by the Occupational Safety and Health Administration ( OSHA ), according to Cabem . com , a competency management software business . By adhering to legal requirements , safety regulations , and industry standards , compliant contractors are better equipped to identify , assess , and mitigate risks effectively , according to Veriforce . com , a supply chain management company . More importantly , compliance improves risk management and prevents accidents from happening in the first place . What are some of the fiscal impacts of noncompliance in construction ?
OSHA violations can be extremely costly : A serious violation can cost more than $ 16,000 per violation ; failure to abate the violation may cost the contractor or prime more than $ 16,000 per day beyond the abatement date ; and willful or repeated breaches may total more than $ 161,000 per violation . These civil penalty amounts were just adjusted and adopted on January 11 , 2024 .
Non-compliance may also result in legal action from lawsuits brough by injured workers or the general public who have been harmed as a result of unsafe working conditions . Significant financial costs and SUMMER 2024 CONTRACTOR TOOLS - 25