GEORGETOWN, Del. - The U.S. Department of Labor has reached a settlement agreement with Donovan Salvage Works, a salvage yard company based in Georgetown, and its owner following a whistleblower case involving the wrongful termination of an employee who reported safety concerns.
The investigation, conducted by the Occupational Safety and Health Administration, found that the company fired a smelter operator after he raised concerns about a leaking propane smelter with his supervisor. The employee claimed that his concerns were ignored and that he was told to continue working despite the safety hazard. After he refused, his supervisor agreed to call technicians to address the issue but sent him home without pay for the remainder of the day. The leak was found afterwards and repaired by the technicians.
The employee later contacted OSHA to report the leak. After OSHA investigators contacted the yard regarding the report, the Department of Labor said the owner of the company concluded the employee called OSHA and fired him in retaliation.
"Employers who retaliate against workers who raise safety concerns create a potentially dangerous work environment and a chilling effect that discourages others from voicing their concerns," said OSHA Regional Administrator Michael Rivera in Philadelphia. "No employee should fear retaliation or termination for freely exercising their rights protected under the law."
As part of the settlement, Donovan Salvage Works agreed to pay $40,000 in back wages and damages. In addition, the company agreed to remove references to protected activity and negative actions from the employee's personnel file, provide a neutral job reference, post OSHA whistleblower information at the worksite and provide whistleblower training to all employees.
"This settlement goes a long way in making the terminated employee whole and sends a clear and strong message from the U.S. Department of Labor to employers that worker safety must always be their first concern," said Deputy Regional Solicitor Samantha Thomas. "When employees exercise their right to report unsafe workplace conditions and face any form of retaliation, we will pursue all legal remedies to ensure employees are made whole and employers do not engage in similar conduct in the future."
The settlement follows a safety and health case also investigated by OSHA which resulted in the agency issuing 13 citations and over $81,000 in proposed penalties to the company. The property was also investigated for groundwater and metal contamination in late 2022.