U.S. regulators on Wednesday announced a settlement with the company that runs Dollar Tree and Family Dollar aimed at improving worker safety at thousands of the bargain stores across the country.

Labor Department officials cited hazards at the stores including blocked exits, unsafe storage of materials, and improper access to fire extinguishers and electrical panels.

Under the agreement, the chains operated by Dollar Tree Inc. are required to find the “root causes” of violations that the Occupational Safety and Health Administration has repeatedly cited at multiple stores and fix them within two years, the department said.

Assistant Labor Secretary Doug Parker noted that OSHA has issued 403 violations at Dollar Tree and Family Dollar stores since 2017, resulting in more than $13.1 million in fines to date. The company “made some significant improvement” in worker safety following a 2015 settlement that expired in 2018 but continued violations show more work needs to be done, Parker said.

“These are entirely preventable violations and hazards. And it’s the employer’s ... responsibility, to keep these workers safe,” Parker told reporters. “These improvements will not happen overnight, but this agreement will create a pathway for significant investment by the company to put in place controls that we believe will make workers safer.”

The agreement, which was entered into last week, covers all Family Dollar and Dollar Tree stores in OSHA’s federal jurisdiction — totaling 10,000 locations nationwide, according to Solicitor of Labor Seema Nanda. It also calls for the company to maintain a 24-hour hotline for safety complaints and anti-retaliation protections for workers, Nanda added.

Dollar Tree and Family Dollar also face hefty fines for future violations. If hazards are not adequately corrected within 48 hours of an OSHA notification, the company can face $100,000 fine per day of violation, up to $500,000 for each store, as well as further inspection and enforcement from OSHA.

Beyond these fines, Dollar Tree and Family Dollar is paying $1.4 million in penalties to settle existing contested and open inspections of similar alleged violations, the Labor Department said Wednesday.

“We are implementing substantial safety policies, procedures, and training, all intended to safeguard the wellbeing of our associates," Mike Creedon, chief operating officer of Dollar Tree, said in a Wednesday statement. "We appreciate the opportunity to engage with OSHA on our safety initiatives as we move forward, seeking to establish our position as a leading retailer in workplace safety.”

Dollar Tree Inc., based in Chesapeake, Virginia, acquired Family Dollar in 2015 for almost $9 billion. The company operates more than 16,000 Dollar Tree and Family Dollar stores in 48 states and Canada, employing more than 193,000 people, according to the Labor Department.

Share:
More In Business
Starbucks’ Change Flushes Out a Debate Over Public Restroom Access
Starbucks’ decision to restrict its restrooms to paying customers has flushed out a wider problem: a patchwork of restroom use policies that varies by state and city. Starbucks announced last week a new code of conduct that says people need to make a purchase if they want to hang out or use the restroom. The coffee chain's policy change for bathroom privileges has left Americans confused and divided over who gets to go and when. The American Restroom Association, a public toilet advocacy group, was among the critics. Rules about restroom access in restaurants vary by state, city and county. The National Retail Federation says private businesses have a right to limit restroom use.
Trump Highlights Partnership Investing $500 Billion in AI
President Donald Trump is talking up a joint venture investing up to $500 billion for infrastructure tied to artificial intelligence by a new partnership formed by OpenAI, Oracle and SoftBank. The new entity, Stargate, will start building out data centers and the electricity generation needed for the further development of the fast-evolving AI in Texas, according to the White House. The initial investment is expected to be $100 billion and could reach five times that sum. While Trump has seized on similar announcements to show that his presidency is boosting the economy, there were already expectations of a massive buildout of data centers and electricity plants needed for the development of AI.
Load More