A.E. Staley Manufacturing Co. v. Secretary of Labor

295 F.3d 1341, 353 U.S. App. D.C. 74, 2002 CCH OSHD 32,606, 19 OSHC (BNA) 1937, 2002 U.S. App. LEXIS 14725, 2002 WL 1609996
CourtCourt of Appeals for the D.C. Circuit
DecidedJuly 23, 2002
Docket00-1530
StatusPublished
Cited by18 cases

This text of 295 F.3d 1341 (A.E. Staley Manufacturing Co. v. Secretary of Labor) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
A.E. Staley Manufacturing Co. v. Secretary of Labor, 295 F.3d 1341, 353 U.S. App. D.C. 74, 2002 CCH OSHD 32,606, 19 OSHC (BNA) 1937, 2002 U.S. App. LEXIS 14725, 2002 WL 1609996 (D.C. Cir. 2002).

Opinion

Opinion for the Court filed by Circuit Judge GARLAND. .

GARLAND, Circuit Judge:

A.E. Staley Manufacturing Company petitions for review of a final order of the Occupational Safety and Health Review Commission (OSHRC). The Commission found that Staley committed 89 willful violations of 29 C.F.R. § 1910.307(b) (the “hazardous locations standard”), which mandates that electrical equipment in hazardous locations be approved for use in such locations. OSHRC also concluded that Staley committed two willful violations of 29 C.F.R. § 1910.1200(h) (the “hazard communication standard”), which requires employers to provide employees with effective information and training regarding hazardous chemicals in their work areas. Staley does nob dispute that it committed the violations, but contends that the Commission erred in deeming them willful. Finding no error, we deny the petition for review.

*1344 I

Staley is a corn refiner that produces corn starch, corn oil, fructose, and dextrose at a number of facilities. This case concerns Staley’s Decatur, Illinois plant. In 1990, the plant included over 130 buildings and had approximately 833 hourly employees. In July of that year, the Occupational Safety and Health Administration (OSHA) 1 began an inspection of the plant, prompted by a May 1990 accident in which an employee was fatally asphyxiated. As a result of the inspection, the Secretary of Labor, acting through OSHA, issued two sets of citations alleging hundreds of violations of the Occupational Safety and Health Act (“OSH Act”), 29, U.S.C. §§ 651-678. One set of citations alleged violations of safety standards, including the hazardous locations standard, 29 C.F.R. § 1910.307(b). The other set charged violations of health standards, including the hazard communication standard, id. § 1910.1200(h), and the asbestos standard, id. § . 1910.1001(j)(2), (k)(l).

Partial settlements led to the withdrawal of all citations for non-willful violations. Staley contested the remaining 177 safety and four health citations, and the Commission assigned an Administrative Law Judge (ALJ) to hear the case. The ALJ upheld 171 of the safety citations and all four of the health citations. However, he concluded that only 87 of the safety violations (all for hazardous locations) and two of the health violations (both for asbestos) were willful. He found the remaining violations, including the two violations of the hazard communication standard, to be serious but not willful. 2 Both parties appealed the ALJ!s decision to OSHRC.

The Commission affirmed all of the ALJ’s findings of violations, as well as all of his findings of willfulness. In addition, it upgraded several violations from serious to willful, including two further hazardous locations violations (making a total of 89) and the two hazard communication violations (which it grouped as one for penalty purposes). In finding willfulness, the Commission relied on evidence that previous dust explosions, internal audits, and a survey by the National Institute for Occupational Safety and Health had put Staley on notice of serious safety and health problems, including the location of non-approved electrical equipment in the vicinity of combustible dust and a lack of employee training concerning dangerous chemicals. The Commission concluded that Staley’s continued failure to take corrective action in the face of these widespread problems supported a determination of willfulness. *1345 A.E. Staley Mfg. Co., 19 O.S.H. Cas. (BNA) 1199, 1221-22 (O.S.H.R.C.2000). Staley then filed a petition for review in this court pursuant to section 10(c) of the OSH Act, 29 U.S.C. § 659(c).

II

A reviewing court must uphold the factual findings of the Commission if they are "supported by substantial evidence on the record considered as a whole," 29 U.S.C. § 660(a), and must uphold its other conclusions as long as they are not arbitrary, capricious, an abuse of discretion, or otherwise contrary to law, 5 U.S.C. § 706(2)(A). See Anthony Crane Rental Inc. v. Reich, 70 F.3d 1298, 1302 (D.C.Cir.1995). Moreover, "{w]e defer to the Secretary's interpretation of the Act and regulations, upholding such interpretations so long as they are consistent with the statutory language and otherwise reasonable." Id. (citing Martin v. OSHRC, 499 U.S. 144, 150-51, 111 S.Ct. 1171, 1175-76, 113 L.Ed.2d 117 (1991)).

Staley does not contest the Commission's findings that it committed serious violations of the OSH Act. It disputes only the findings that the 89 hazardous locations and two hazard communication violations were willful. In the OSH Act context, a willful violation is "an act done voluntarily with either an intentional disregard of, or plain indifference to, the Act's requirements." Kaspar Wire Works, Inc. v. Secretary of Labor, 268 F.3d 1123, 1127 (D.C.Cir.2001) (quoting Conie Constr., Inc. v. Reich, 73 F.3d 382, 384 (D.C.Cir.1995)). The Commission based its findings of willfulness on its determination that Staley was plainly indifferent to the requirements of the Act~

Staley argues that the Oommission corn-mitted two errors in deeming its violations willful. First, Staley contends that substantial evidence does not support the Commission's determination that the company was plain~ly indifferent to its violations of OSHA standards. Second, with respect to the hazardous locations standard, Staley maintains that even if there were evidence of its plain indifference to that standard, the Commission legally erred in finding willfulness without finding that the company knew of each specific violation cited by OSHA. We consider these two arguments in Parts III and TV below.

III

The Commission found Staley willful because it demonstrated plain indifference to its violations of the standards requiring it: (1) to use only approved electrical equipment in hazardous locations, and (2) to train and inform its employees regarding hazardous chemicals in their work areas. Staley maintains that there is an absence of substantial evidence to support findings of plain indifference with respect to either standard. We disagree.

A

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295 F.3d 1341, 353 U.S. App. D.C. 74, 2002 CCH OSHD 32,606, 19 OSHC (BNA) 1937, 2002 U.S. App. LEXIS 14725, 2002 WL 1609996, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ae-staley-manufacturing-co-v-secretary-of-labor-cadc-2002.