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Compliance Glossary Term

EMR (Experience Modification Rate)

A numerical score calculated by insurers that compares your company's workplace injury claims to industry averages. A score below 1.0 indicates a safer-than-average record; above 1.0 signals higher risk. Many prime contractors and operators require subcontractors to maintain a low EMR to qualify for bid lists.

Related Terms

PIT (Powered Industrial Truck)

Compliance

Any motorised vehicle used to move materials on a worksite, including forklifts, reach trucks, and pallet jacks. Subcontractors operating PITs must ensure operators hold valid, site-accepted certifications. Non-compliance can trigger work stoppages or removal from site.

MSHA (Mine Safety and Health Administration)

Compliance

A U.S. federal agency that regulates safety at mines and quarries. Subcontractors working on mine sites must comply with MSHA standards, separate from OSHA rules. Workers may require site-specific MSHA training before mobilising.

Flaring

Compliance

The controlled burning of excess natural gas at a wellsite or facility. Subcontractors working on-site must follow strict flaring protocols, as ignition hazards affect work permits and safety zones. Flaring activity can also trigger regulatory hold points that delay field operations.

Respiratory Protection Standard

Compliance

A regulatory requirement mandating fit-tested respirators and written programmes when workers face airborne hazards like H2S, silica, or fumes. Subcontractors must maintain records of fit tests, training, and equipment inspections for each worker. Non-compliance can result in stop-work orders or disqualification from site.

Prequalification

Compliance

A vetting process where operators assess a subcontractor's safety record, insurance, and certifications before awarding work. Companies must pass prequalification to be added to an approved vendor list. Failing or lapsing can disqualify a subcontractor from bidding on projects entirely.

Locate Ticket

Compliance

An official work request issued before any ground disturbance, requiring underground utilities to be marked out. Subcontractors must have an active locate ticket on site before excavation begins. Working without one can result in fines, liability, or contract termination.

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