OSHA and Safety Requirements for the Cannabis Industry

The U.S. cannabis industry exists in a complicated gray area of the law, but one thing is clear: OSHA safety requirements still apply. Cannabis companies involved in cultivation, manufacturing, and distribution face workplace hazards. OSHA enforcement of safety requirements for the cannabis industry are ramping up. Addressing these hazards is the best way to prevent injuries and workers’ compensation claims as well as OSHA fines.

Key Takeaways

• Cannabis companies are subject to the same OSHA regulations as any other business, including the general duty clause requiring a workplace free from recognized hazards.
• Like other employers, cannabis companies must maintain OSHA-required logs (Forms 300, 300A, and 301) documenting work-related injuries and illnesses.
• Some states layer additional cannabis-specific or industry-specific safety standards on top of federal OSHA requirements — Oregon is one example.
• There are currently no established permissible exposure limits for cannabis dust specifically, which creates real uncertainty for cultivation and processing facilities.
• A worker fatality linked to cannabis dust exposure has triggered closer OSHA scrutiny of the industry, signaling that enforcement is likely to continue increasing.
• In Colorado, hazard communication and respiratory protection were the most frequently cited violations in cannabis facility inspections — a useful preview of where other states’ enforcement may focus next.

What Are the OSHA Safety Requirements for the Cannabis Industry?

There have been multiple enforcement actions against cannabis companies recently. According to the American Bar Association, cannabis companies are subject to the same OSHA regulations as companies in other industries. This means cannabis industry employers must adhere to the general duty clause, which states that employers must provide “a place of employment which is free from recognized hazards that are causing or are likely to cause death or serious physical harm to his employees” and comply with the OSHA rules, regulations, and orders.

For example, cannabis growers should follow the same safety requirements as other growers and cannabis manufacturers should follow the same safety standards as other manufacturers.

Like other companies, cannabis companies also need to maintain OSHA-required logs:

• OSHA Form 300, Log of Work-Related Injuries and Illnesses
• OSHA Form 301, Injury and Illness Incident Report
• OSHA Form 300A: Summary of Work-Related Injuries and Illnesses

Strong OSHA compliance and a solid safety program also tie directly into workers’ compensation costs — fewer incidents mean fewer claims, and fewer claims mean a better long-term claims history.

State OSHA Requirements

Some states have additional standards or guidelines that apply to the cannabis industry. As at the federal level, these safety standards may be the same as the safety standards for similar companies in non-cannabis industries. Some states have also been passing new standards that may apply to cannabis companies, including new heat safety standards.

For example, the following OSHA rules typically apply in Oregon:

• Cannabis processors and retailers are subject to Oregon OSHA’s Division 1, General Administrative Rules.
• Cannabis processors and retailers are subject to Oregon OSHA’s Division 2, Generation Occupational Safety and Health Rules.
• Cannabis growers are subject to Oregon OSHA’s Division 4, Agricultural Rules.

A New Level of Scrutiny

The U.S. cannabis industry is growing rapidly. According to Cannabis Business Times, OSHA is now playing catch-up to enforce existing federal workplace standards in the cannabis industry.

A recent death may trigger an even higher level of scrutiny. A worker at a cannabis processing factory died of an asthma attack linked to cannabis dust exposure on January 7. Bloomberg Law says OSHA’s enforcement actions following the death indicate that the agency is taking a closer look at worker safety issues in the cannabis industry.

Although the cannabis industry should generally follow the same guidelines as other similar companies, the relative novelty of the industry as well as the lack of historical data may be an issue when it comes to hazards particular to cannabis. Specifically, the American Bar Association points out that there are no established permissible exposure levels for cannabis dust. In our experience, cannabis operators are often surprised that “we’re a new industry” isn’t a defense OSHA recognizes — the general duty clause applies regardless of how novel the specific hazard is.

Colorado: A Case Study in Cannabis Safety

As the first state to legalize recreational marijuana, Colorado has established itself as a leader for the cannabis industry. This also means Colorado may be ahead of many other states in terms of identifying and managing the associated risks, including worker risks.

OSHA says its Denver and Englewood Area Offices have conducted 44 complaint, facility, and referral inspections at cannabis facilities over the past several years. There have also been several accident investigations during this time, including three fatalities at cannabis facilities.

In the 44 inspections, the following standards were cited most frequently:

• Hazard Communication: 29 citations (66% of inspections)
• Respiratory Protection: 18 citations (41% of inspections)
• Personal Protective Equipment (Excluding RP): 9 citations (20% of inspections)
• Flammable Liquids: 8 citations (18% of inspections)
• Electrical Hazards/Classified Locations: 7 citations (16% of inspections)
• Machine Guarding/LOTO: 6 citations (14% of inspections)
• Fall Protection and Walking/Working Surfaces: 4 citations (9% of inspections)

OSHA has introduced a Local Emphasis Program designed to reduce the incidence of serious health and physical injury or death from hazards in facilities involved in cannabis operations within the jurisdiction of the Englewood and Denver Area Offices, effective July 18, 2024. The program aims to encourage employers to identify hazards, determine whether facilities are complying with all relevant OSHA requirements, and correct hazards.

Although this program (and the related statistics) focus on a specific region in Colorado, cannabis companies in other regions should take note, as they likely face the same workplace hazards.

Stay Ahead of Rising OSHA Scrutiny

The cannabis industry is evolving fast, which may make it hard to keep up with safety and risk management issues. Heffernan Insurance Brokers can help — we offer cannabis business insurance that caters to the needs of the hemp, marijuana, and cannabis industry, and can help you think through both your safety program and your workers’ compensation coverage together.