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Regulatory Issues

 

ARIZONA DAILY STAR: Mon., May 21, 2007

OSHA ruling puts onus on subcontractors

By Becky Pallack

Big builders are not responsible for the unsafe practices of their subcontractors, according to a federal board's decision. The ruling reverses more than 30 years of precedent, but it's unclear whether it will apply fully to Arizona.

The ruling from the U.S. Occupational Safety and Health Review Commission applies in situations when a subcontractor is caught breaking a safety rule. In the past, the general contractor was seen as the job site authority, responsible for the safety of all workers no matter who signed their paychecks, and both employers could be cited and fined for rule violations.

It's a win for the general contractors, who have been fighting the old policy for decades, said Charles Keller, an attorney with Snell & Wilmer in Phoenix.

Builders think "it's a big deal for us locally, but it's going to have to play out through the courts," said Jon Fast, chairman of the Southern Arizona Home Builders Association's safety committee and owner of Rincon Safety Consultants.

Attorney's fees for such a fight would run more than $15,000, and the typical fines for violating safety rules might be a tenth of that, Fast said. So builders will settle for the Arizona policy until someone can afford to appeal a citation, he said.

FULL STORY: http://www.azstarnet.com/allheadlines/183858