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The Determinants of Federal and State Enforcement of Workplace Safety Regulations: OSHA Inspections 1990-2010
Juergen Jung1, Michael D Makowsky2
1Department of Economics, Towson University, 8000 York Rd. Stephens Hall, Towson, MD 21250, , jjung@towson.edu.
Abstract:
We explore the determinants of inspection outcomes across 1.6 million Occupational Safety and Health Agency (OSHA) audits from 1990 through 2010. We find that discretion in enforcement differs in state and federally conducted inspections. State agencies are more sensitive to local economic conditions, finding fewer standard violations and fewer serious violations as unemployment increases. Larger companies receive greater lenience in multiple dimensions. Inspector issued fines and final fines, after negotiated reductions, are both smaller during Republican presidencies. Quantile regression analysis reveals that Presidential and Congressional party affiliations have their greatest impact on the largest negotiated reductions in fines.
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