On February 28, 2013, OSHA ordered Union Pacific Railroad (UP) to reinstate the employment of and pay over $309,000 ($150,000 in punitive damages, $87,600 in compensatory damages, $71,700 in back pay with interest, plus attorney’s fees) to a locomotive conductor who alleged he was discharged for reporting a co-worker’s on-the-job injury.  OSHA Regional News Release, 13-276-SEA (SF-22) (Feb. 28, 2013).

Background.  In July of 2009, a UP locomotive conductor reported that an engineer injured his elbow on a steel armrest that was missing its padding.  OSHA determined that UP retaliated against him for reporting the injury in violation of the Federal Railroad Safety Act (FRSA).  This determination was the third such order issued against UP in 13 months.  UP maintained that the employee was discharged for violating safety rules and announced its intent to appeal.

Implications.  When considering this preliminary order, it should be noted that, since OSHA obtained FRSA enforcement authority in August of 2007, it has received more than 1,200 FRSA complaints.  Employers in this industry should anticipate increased agency action in response to the high volume of FRSA complaints.  In fact, as noted in our January 25, 2013 post, OSHA recently imposed strict penalties in whistleblower matters and reached significant whistleblower-related accords with other railroad employers.  Accordingly, employers are well advised to review their policies, protocols and procedures to ensure they are not reasonably construed as discouraging reporting of injuries or violations of rules and regulations.  In addition, employers should ensure a robust evaluation and review process to investigate on-duty injuries.  Employers also should modernize and strengthen policies and training programs to ensure they focus on FRSA anti-retaliation requirements.

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Photo of Steven J. Pearlman Steven J. Pearlman

Steven J. Pearlman is a partner in the Labor & Employment Law Department and Co-Head of the Whistleblowing & Retaliation Group and the Restrictive Covenants, Trade Secrets & Unfair Competition Group.

Steven’s practice covers the full spectrum of employment law, with a particular…

Steven J. Pearlman is a partner in the Labor & Employment Law Department and Co-Head of the Whistleblowing & Retaliation Group and the Restrictive Covenants, Trade Secrets & Unfair Competition Group.

Steven’s practice covers the full spectrum of employment law, with a particular focus on defending companies against claims of employment discrimination, retaliation and harassment; whistleblower retaliation; restrictive covenant violations; theft of trade secrets; and wage-and-hour violations. He has successfully tried cases in multiple jurisdictions, and defended one of the largest Illinois-only class actions in the history of the U.S. District Court for the Northern District of Illinois. He also secured one of only a few ex parte seizures orders that have been issued under the Defend Trade Secrets Act, and obtained a world-wide injunction in federal litigation against a high-level executive who jumped ship to a competitor.

Reporting to boards of directors, their audit committees, CEOs and in-house counsel, Steven conducts sensitive investigations and has testified in federal court. His investigations have involved complaints of sexual harassment involving C-suite officers; systemic violations of employment laws and company policies; and fraud, compliance failures and unethical conduct.

Steven was recognized as Lawyer of the Year for Chicago Labor & Employment Litigation in the 2023 edition of The Best Lawyers in America. He is a Fellow of the College of Labor and Employment Lawyers.  Chambers describes Steven as an “outstanding lawyer” who is “very sharp and very responsive,” a “strong advocate,” and an “expert in his field.” Steven was 1 of 12 individuals selected by Compliance Week as a “Top Mind.” Earlier in his career, he was 1 of 5 U.S. lawyers selected by Law360 as a “Rising Star Under 40” in the area of employment law and 1 of “40 Illinois Attorneys Under Forty to Watch” selected by Law Bulletin Publishing Company. Steven is a Burton Award Winner (U.S. Library of Congress) for “Distinguished Legal Writing.”

Steven has served on Law360’s Employment Editorial Advisory Board and is a Contributor to Forbes.com. He has appeared on Bloomberg News (television and radio) and Yahoo! Finance, and is regularly quoted in leading publications such as The Wall Street Journal.

The U.S. Chamber of Commerce has engaged Steven to serve as lead counsel on amicus briefs to the U.S. Supreme Court and federal circuit courts of appeal. He was appointed to serve as a Special Assistant Attorney General for the State of Illinois in employment litigation matters. He has presented with the Solicitor of the DOL, the Acting Chair of the EEOC, an EEOC Commissioner, Legal Counsel to the EEOC and heads of the SEC, CFTC and OSHA whistleblower programs. He is also a member of the Sedona Conference, focusing on trade secret matters.