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ComplianceGlossary Term

Serious Citation

A regulatory violation notice issued when an inspector finds a condition likely to cause serious injury or death. For subcontractors, it typically triggers fines, mandatory corrective action, and potential work stoppage. These citations can affect prequalification standing and future contract eligibility.

Related Terms

PPE (Personal Protective Equipment)

Compliance

Protective gear — such as hard hats, steel-toed boots, high-visibility vests, gloves, and eye protection — that subcontractors and their crews are required to wear on oil & gas and construction sites to meet site-specific safety standards and regulatory obligations. As a subcontractor, ensuring your workers arrive on-site with proper, compliant PPE is typically your responsibility and a condition of maintaining your contract.

Jones Act Waiver

Compliance

A temporary federal exemption allowing foreign-flagged vessels to transport cargo between U.S. ports. Subcontractors may encounter this during emergency offshore operations or disaster response work. Waivers affect vessel availability, crewing rules, and subcontract scope on marine projects.

IADC (International Association of Drilling Contractors)

Compliance

A global industry body that sets drilling standards, safety training programmes, and well control certifications. Subcontractors working on drilling sites often need IADC-recognised credentials to qualify for contracts. Holding valid IADC certifications can directly affect your crew's eligibility and your bid competitiveness.

Impairment-Based Testing

Compliance

A drug and alcohol testing method that assesses a worker's current functional fitness rather than detecting past substance use. It uses cognitive or physical performance baselines to flag impairment at the time of testing. Subcontractors must understand site requirements, as accepted methods vary by client and jurisdiction.

Zero-Tolerance (drug and Alcohol Policy)

Compliance

A site policy that prohibits any detectable level of drugs or alcohol in workers. Subcontractors must ensure all personnel pass pre-access and random testing. Violations typically result in immediate removal from site and contract penalties.

NDT (Non-destructive Testing)

Compliance

Inspection methods used to evaluate welds, pipelines, and structures without damaging them. Common NDT techniques include ultrasonic, radiographic, and magnetic particle testing. Subcontractors often need certified NDT technicians on crew to meet client and regulatory requirements.

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