The holding company for Dollar Tree and affiliate, Family Dollar has agreed to a $1.4 million settlement with the Occupational Safety and Health Administration (OSHA).  This agreement concludes a series of actions based on repeated safety violations.  As part of the settlement, Dollar Tree and Family Dollar will implement safety-training programs, modify store security and workplace safety, introduce an audit system and establish safety advisory groups.  The two companies within the group have amassed 400 safety violations with fines totaling $13.1 million over the past five years.

Expressing their new-found concern for workers, the Company issued the statement, “The foundations of the Dollar Tree and Family Dollar programs have continuous associate feedback, engagement and root-cause analysis to understand issues and ensure compliance.”  The question arises as to why defects including improperly stacked inventory, blocked exits, exposure of workers to the risk of holdups, defective electrical installations and absence of fire suppression were ignored despite receiving citations from OSHA.  In terms of the consent agreement, Family Dollar and Dollar Tree will be subject to severe financial penalties in the event of noncompliance. Reducing the quantum of the fine from a potential $13.1 million to $1.4 million is not justified and the generosity of OSHA will be considered by Dollar General as a tax-deductible cost of doing business on their terms.