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Compliance Glossary Term

Engineering Hold Point

A mandatory pause in field work where an engineer or inspector must review and approve progress before crews can continue. Subcontractors cannot proceed past this point without documented sign-off. Failing to stop can void warranties, trigger contract penalties, or cause costly rework.

Related Terms

Protest (customs)

Compliance

A formal dispute filed against a customs ruling, such as import duties charged on tools or equipment crossing the border. Subcontractors use protests to recover overbilled duties on temporarily imported gear. Filing deadlines are strict, so act quickly after receiving a customs decision.

National Emphasis Program (nep)

Compliance

A targeted OSHA enforcement initiative that focuses inspections on high-hazard industries or specific workplace dangers. Subcontractors in oil and gas or construction are frequently subject to NEP audits. Being on an active NEP site means heightened scrutiny of your crew's documentation, PPE, and safety procedures.

Prevailing Wage

Compliance

The minimum hourly rate subcontractors must pay workers on government-funded projects, set by regional labour surveys. Rates vary by trade and location, directly affecting your bid pricing and labour costs. Underpaying prevailing wage on public contracts can result in fines, back pay obligations, and disqualification from future bids.

Loading Away From the Face

Compliance

A blasting technique where explosives are loaded starting from the back of the borehole toward the opening. This reduces the risk of premature detonation during charging operations. Subcontractors must follow site-specific protocols, as improper loading sequences can trigger serious safety violations.

Reactive Hazards

Compliance

Materials or conditions that can cause fires, explosions, or toxic releases through chemical reactions when exposed to heat, water, or other substances. Subcontractors must identify these hazards before work begins and follow site-specific handling protocols. Common examples in oilfield and construction work include peroxides, unstable gases, and certain drilling chemicals.

Reactive Hazard

Compliance

A substance or condition that can cause fire, explosion, or violent reaction when exposed to heat, air, water, or other chemicals. Subcontractors must identify these hazards during site orientations and follow the operator's safe handling procedures. Failure to do so can trigger immediate work stoppages or removal from site.

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