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OSHA Announces Broad Deregulation Initiative: What Employers Need to Know 

In response to President Donald Trump’s Executive Order 14192, titled “Unleashing Prosperity Through Deregulation,” the Occupational Safety and Health Administration (OSHA) published 25 proposed rules and one final rule in the Federal Register on July 1. This deregulation effort also follows a directive from the Executive Order that federal agencies must repeal at least 10 existing regulations for each new regulation issued. 

Below are key finalized changes as well as proposed changes that may impact employers.

Final Rule on Construction Standards 

The final rule, which took effect on July 1, 2025, removes the requirement for the agency’s administrator to consult with the Advisory Committee on Construction Safety and Health before creating or modifying standards for construction work. OSHA states that this change will streamline the regulatory process and expedite deregulatory actions by eliminating procedural steps not mandated by statute. 

Withdrawal of Proposal for MSD Column on 300 Log 

OSHA has decided to withdraw a proposal to add a specific column for musculoskeletal disorders (MSDs) to the OSHA 300 Log. While this proposal, withdrawn on July 1, 2025, would have revived earlier efforts to require employers to specifically indicate MSDs, the withdrawal does not change existing recordkeeping obligations. Employers must still record work-related injuries and illnesses, including MSDs, which meet the standard criteria for recordability on Forms 300, 301, and 300A. 

Updated OSHA Penalty Guidelines 

In a separate move to improve workplace safety, the U.S. Department of Labor has updated its guidance on penalty and debt collection procedures in OSHA’s Field Operations Manual. The goal of these changes is to minimize the burden on small businesses and increase prompt hazard abatement. 

The new policy includes several key adjustments to penalty reductions: 

  • The penalty reduction level of 70 percent is now available for businesses with up to 25 employees, an increase from the previous limit of 10 employees. 
  • A new 15 percent penalty reduction is available for employers who immediately take steps to address or correct a hazard. 
  • The policy also expands the penalty reduction for employers without a history of serious, willful, repeat, or failure-to-abate violations. Employers who have never been inspected by federal OSHA or a State Plan, as well as those inspected in the previous five (5) years with no serious violations, are now eligible for a 20 percent penalty reduction. 

These new policies are effective immediately, and they apply to open investigations where penalties have not yet been issued. Penalties issued before July 14, 2025, will remain under the previous structure. 

Other Notable Proposed Rules 

The 25 proposed rules aim to modernize outdated standards, consolidate duplicative regulations, and shift toward a more performance-based approach to compliance. The public comment period for most of these proposals is open until early September 2025. Some of the most notable proposals include: 

  • General Duty Clause: A proposed rule would limit OSHA’s ability to cite employers under the General Duty Clause for hazards deemed “inherent and inseparable” from certain high-risk professional activities. 
  • Respiratory Protection: OSHA is proposing revisions to respiratory protection standards for specified chemicals to remove duplicative requirements and permit the use of different respirator types. 
  • COVID-19: A proposed rule seeks to remove the COVID-19 recordkeeping and reporting requirements for healthcare settings. 
  • Construction Lighting: OSHA is proposing to rescind the Construction Illumination Standard, stating it “is not reasonably necessary or appropriate” because it does not reduce significant risks to workers. 

Next Steps for Employers 

Employers should assess their organization’s current safety and health policies to identify areas that may be impacted by these proposed changes and monitor the public comment period for these proposed rules and any subsequent guidance from OSHA. 

Employers should continue to monitor OSHA guidance and maintain compliance with any applicable federal, state, or local health and safety requirements. 

It is also recommended that employers consult legal counsel, safety professionals, and/or human resource advisors to understand how these federal changes might affect your specific compliance obligations. 

HR Works will continue to monitor this topic and provide updates as more information is made available. 

HR Works, headquartered in Upstate New York, is a human resource management outsourcing and consulting firm serving clients throughout the United States for over thirty years. HR Works provides scalable strategic human resource management and consulting services, including: affirmative action programs; benefits administration outsourcing; HRIS self-service technology; full-time, part-time and interim on-site HR managers; HR audits; legally reviewed employee handbooks and supervisor manuals; talent management and recruiting services; and training of managers and HR professionals.