jetcityimage/iStock Editorial via Getty Images
Dollar General (NYSE:DG) agreed to pay a $12M fine and improve safety conditions as part of a settlement with the U.S. Department of Labor.
The settlement is to resolve alleged violations that included unsafe storage, blocked emergency exits and fire extinguishers, and inaccessible electrical panels.
The Tennessee-based company agreed to establish new safety protocols, hire more safety staff, and significantly reduce store inventory to avoid obstructed exits.
Dollar General (DG), which operates more than 19,000 stores nationwide, has also brought in a third-party consultant to identify hazards and perform unannounced compliance audits annually, the U.S. Department of Labor said.
If inspectors find similar issues, the discount retailer will have to pay $100,000 a day up to $500,000 if problems are not resolved within 48 hours.
“These changes help give peace of mind to thousands of workers, knowing that they are not risking their safety in their workplaces and that they will come home healthy at the end of each day.” said Douglas L. Parker, Assistant Secretary for Occupational Safety and Health (OSHA), a division of the Department of Labor.
Dollar General (DG) will monitor outcomes from these actions and provide quarterly reports to OSHA as part of the agreement.
The stock price dropped about 22% over the last one year. It gets a Seeking Alpha quant rating of Hold with 2.88 score, and lowest factor grades given to valuation and growth.