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November 23, 2009
OSHA Proposes Record Fine for BP

The U.S. Occupational Safety and Health Administration (OSHA) has issued a proposed fine of more than $87.4 million against BP Products North America, Inc. for alleged safety violations at its Texas City refinery. The fine is the largest in OSHA’s history, breaking a prior record of $21 million levied in 2005, also against BP.

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The prior fines followed an explosion at the refinery in March 2005 that killed 15 workers and injured 170. BP entered into a settlement agreement with OSHA in September 2005, agreeing to pay the penalties and make safety improvements to the refinery. Following a 6-month inspection begun in May 2009, OSHA concluded that BP failed to implement the improvements. The agency issued 270 citations, totaling $56.7 million, for failure to abate hazards, plus 439 new willful violations with penalties totaling $30.7 million.

“BP was given 4 years to correct the safety issues identified pursuant to the settlement agreement, yet OSHA has found hundreds of violations of the agreement and hundreds of new violations,” said Jordan Barab, acting assistant secretary of labor for OSHA. “BP still has a great deal of work to do to assure the safety and health of the employees who work at this refinery.”

“Fifteen people lost their lives as a result of the 2005 tragedy,” said U.S. Department of Labor Secretary Hilda Solis. “An $87 million fine won’t restore those lives, but we can’t let this happen again. Workplace safety is more than a slogan. It’s the law,” Solis added. “The U.S. Department of Labor will not tolerate the preventable exposure of workers to hazardous conditions.”


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