Contractor Safety Program Evaluation — OSHA Letters of Interpretation

An oil company hired a contractor to build perforating guns (an explosives process) for well work, and a contractor employee was killed. OSHA explained that the host's duty under (h)(2) exists "to assure that employers do not introduce additional hazards to covered processes," and so did not apply where the contractor worked exclusively for oil and gas well drilling or servicing, which PSM excludes. The host still had obligations under other standards and the general duty clause.

Asked whether PSM consultants and engineering contractors are "contractors" under (h), OSHA pointed to the scope in (h)(1), contractors performing maintenance or repair, turnaround, major renovation, or specialty work on or adjacent to a covered process, and said coverage "depends not on the job classification of the contractor, but on the precise nature of their onsite activities."

In a letter about ammonia refrigeration maintenance, OSHA described responsibility for contractor safety as shared: the host creates and controls the hazards and has primary responsibility, while the contractor trains its own people. Under PSM, the host must give the contract employer process information and periodically evaluate how the contractor is meeting its training duties. For managers without PSM experience, OSHA suggested training, an outside consultant, or a designated manager, and pointed to its compliance directive.