One OSHA press release publicizing a company’s health and safety regulation violations can result in a 73% improvement in compliance by other facilities, according to a study published in the American Economic Review. The study, “Regulation by Shaming: Deterrence Effects of Publicizing Violations of Workplace Safety and Health Laws,” found that after an OSHA release was sent to local newspapers, compliance by other nearby facilities improved more than if OSHA had inspected each of those facilities directly. OSHA would have to conduct an additional 210 inspections to generate the same compliance improvement sparked by a single press release, according to researcher Matthew Johnson, an assistant professor at Duke University’s Sanford School of Public Policy.
OSHA began sending press releases to local newspapers near a facility detailing health and safety violations found during an inspection beginning in 2009. The releases were issued following inspections with fines of $40,000 or more.
Johnson’s research found that a press release from OSHA led to 73% fewer OSHA violations at peer facilities within a three mile radius of the publicized facility. The effect of a press release is smaller on the compliance of facilities located further away, but Johnson found effects persist for facilities up to 31 miles away.
The full study is available for download from the American Economic Review’s website.
