Court-ordered payments that go beyond compensating actual losses, intended to punish serious misconduct. Subcontractors can face these for gross negligence or wilful safety violations. Many prime contracts include clauses limiting or waiving punitive damage liability.
Punitive Damages
Related Terms
Wage and Hour Division
ComplianceThe U.S. Department of Labour branch that enforces federal wage laws, including overtime and minimum wage rules. Subcontractors must ensure field crew pay practices meet WHD standards to avoid audits and penalties. Misclassifying workers as independent contractors is a common trigger for WHD investigations.
Multi-Employer Citation Policy
ComplianceA regulatory policy allowing safety authorities to issue violations to multiple employers on a shared worksite, not just the site owner. As a subcontractor, you can be cited for hazards you created, controlled, or exposed your workers to. Understanding this policy is critical when operating under a prime contractor on oil and gas or construction sites.
STEP (Safety Training Evaluation Process)
ComplianceA benchmarking programme that evaluates a subcontractor's safety training systems against industry standards. Operators often require a valid STEP rating before awarding field contracts. Higher ratings signal lower risk and can improve your bid competitiveness.
Installation Quality Documentation
ComplianceRecords that prove work was completed to spec, including inspection reports, redlines, and sign-offs. Subcontractors use these to protect themselves during client audits or warranty disputes. Missing documentation can delay invoicing or trigger costly rework claims.
Underground Utility Strike
ComplianceAn accidental hit to a buried line — gas, electric, telecom, or water — during excavation or drilling. Subcontractors are typically liable for damages, work stoppages, and injuries if proper locates weren't completed. Always confirm valid BC One Call or Alberta One-Call tickets before breaking ground.
Roof Control Plan
ComplianceA site-specific document outlining how ground or overhead hazards will be managed in underground or enclosed work areas. Subcontractors must review and follow it before starting work on a mine or tunnel site. It defines approved support methods, inspection requirements, and who holds authority to halt unsafe work.
Latest Compliance News
CSB Probe Into Fatal Mill Explosion Highlights Gas Detection Failures
The Chemical Safety Board's investigation into a fatal hydrogen sulfide release at a Maine pulp mill points to inadequate gas monitoring systems, underscoring the need for field crews to review detection protocols.
21 hours agoComplianceGranite Wins $50M Job to Replace PG&E Dam Spillway After Oroville-Driven Review
Granite Construction has landed a $50 million contract to replace the spillway at PG&E's Tiger Creek Regulator Dam after post-Oroville safety reviews found the existing structure couldn't handle the site's probable maximum flood, Engineering News-Record reports.
21 hours agoComplianceHouse Panel Advances Bill to Block OSHA Heat Standard
A House committee voted 18-15 to advance H.R. 6213, which would bar OSHA from finalizing or issuing any similar heat protection standard for outdoor and indoor workers.
21 hours agoComplianceMSHA Opens $250K Safety Training Grant Window, Deadline Aug. 31
MSHA is accepting applications through Aug. 31 for Brookwood-Sago Mine Safety Grants worth up to $250,000, funding emergency response and recovery training for mining operations.
21 hours agoRelated Guides
When a Jobsite Incident Happens: What Field Workers Need to Know Before Signing Anything
What to do after a jobsite injury or incident, what your rights are before signing incident reports, how workers' compensation works, and how to protect yourself on multi-employer worksites.
Compliance GuideOSHA Citations on Multi-Employer Worksites: What Subcontractors Need to Know
Learn how OSHA's multi-employer citation policy works, why subcontractors get cited for hazards they didn't create, and how to protect your company on operator-controlled job sites.
Compliance GuideHow to Read and Negotiate an Oilfield Master Service Agreement (MSA): A Subcontractor's Guide
Learn which MSA clauses actually matter for oilfield subcontractors: indemnity, insurance, payment terms, and change orders. Know what you're signing.
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