The U.S. Department of Labor, Office of Workers’ Compensation Programs, which administers the Longshore and Harbor Workers’ Compensation Act, has released Industry Notice No. 160, dated January 25, 2017.
The purpose of Notice No. 160 is to announce the latest increase in civil monetary penalties effective as of January 13, 2017.
Subject: 2017 Increase of civil monetary penalties in accordance with the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (sic). This Act requires federal agencies to adjust the levels of civil monetary penalties for inflation. These adjustments affect several provisions of the Longshore Act and its extensions, the Defense Base Act, the Outer Continental Shelf Lands Act, and the Nonappropriated Fund Instrumentalities Act.
Here is a brief summary of the changes.
“Any employer failing to notify the district director that the final payment of compensation has been made as required by section 702.235 shall be assessed a civil penalty in the amount of $279 for any violation for which penalties are assessed after January 13, 2017.”The amount is increased from the previous amount of $275, which had been effective August 1, 2016.
“Any employer, insurance carrier, or self-insured employer who knowingly and willfully fails or refuses to send any report required by section 702.201, or who knowingly or willfully makes a false statement or misrepresentation in any report, shall be subject to a civil penalty not to exceed $22,957 for each such failure, refusal, false statement, or misrepresentation for which penalties are assessed after January 13, 2017.”The amount is increased from the previous amount of $22,587, which had been effective August 1, 2016. This is the maximum penalty amount. There is a graduated penalty schedule beginning at $500 based on the facts of each case.
“Any employer who violates this section, and has penalties assessed for such violation after January 13, 2017, shall be liable for a penalty of not less than $2,296 or more than $11,478 to be paid (by the employer alone, and not by a carrier) to the district director for deposit in the special fund described in section 44 of the Act, and shall restore the employee to his or her employment along with all wages lost due to the discrimination unless the employee has ceased to be qualified to perform the duties of employment.”The penalty range is increased from the previous range of $2,259 to $11,293.
“Under Section 30(a) of the Act, an employer must, within ten days from the date of any injury which causes loss of one or more shifts of work, or death (or from the date that the employer has knowledge of a disease, or infection as a result of such injury), furnish an employer’s report of injury or death to the District Director in the appropriate District Office (this is now the New York District Office. See the discussion of Industry Notice No. 144 above.). In the event that the employer does not have immediate knowledge of the injury, the ten day period begins to run from the date that the employer obtains such knowledge.”