As Sanitary Maintenance reported in its December 2000 issue, the first phase of stricter ergonomics regulations devised by the U.S. Occupational Safety and Health Association (OSHA) is scheduled to take effect this month. The more-stringent regulations triggered a lawsuit by the International Sanitary Supply Association (ISSA), Lincolnwood, Ill., and a number of other business organizations, that allege that compliance with the new rules might drive some small businesses to bankruptcy.

Now ISSA is calling upon its members to help build an argument to halt the implementation of the final regulations, scheduled to become entirely effective October 15, 2001. For a stay to be granted, opponents must illustrate how companies will suffer "irreparable harm" if the regulations are followed. ISSA issued a statement in November urging members to provide statements showing that compliance with the ergonomics standard would result in "significant diversion of attention and resources from more pressing safety and health efforts."

Bob Verbau, vice president of sales/ergonomic consultant for Building Service Inc. of Milwaukee, says the real burden of the rule falls on small business, rather than large companies, and that smaller businesses need to brace themselves for the impact.

He says larger corporations have been incorporating ergonomic practices into their businesses for years, but that small businesses are being forced into something they never had to deal with.

"(Small businesses) have never had to comply with the standard before because there wasn?t one," Vorbau explains, "They have to start from scratch."

Bill Balek, ISSA legislative director, is also wary of the affect OSHA?s standard will have on small businesses. "OSHA has issued a one-size-fits-all regulation that essentially treats jobs in every company across industries the same -- a nonsensical and unworkable approach," he says.

It boils down to cost. "The compensation provisions of the regulation will be especially damaging to small businesses," says Balek.

Vorbau says there is the real possibility that the cost of compliance could drive some small companies out of business.

Balek and other organizations argue business is most efficient at self-regulation. "American businesses continue to adjust the workplace to the worker -- the essence of ergonomics," says Balek.

If a stay of the October date is granted, the standard would be put aside until the court can make a decision based on the challenges presented.

But don't think these regulations are just going to go away, warns Vorbau. He says revisions and interpretations will no doubt result from the lawsuits, but he says business owners still need to comply with the regulations as they stand ? the first phase by January 16.

"In my opinion," says Vorbau, "it (the standard) will not go away, but there will be changes made to it."

As reported earlier, OSHA feels it allowed ample opportunity for public input and it says that all arguments were considered in the current version.

According to OSHA, numerous validated scientific investigations have proven that ergonomic programs reduce injuries, cut costs, and increase both productivity and employee morale.

Vorbau feels OSHA has the right intention, though it's enforcing it the wrong way. He notes, though, that accident prevention is still essential, rather than waiting for a musculoskeletal disorder (MSD) to occur.

"The best thing you can do is to educate yourself, and one of the quickest ways to do that is to read the standard," Vorbau says. He says the document is available in a 30-page condensed version, and if business owners still have questions, they should seek expert advice.

"Business owners better be aware of how it?s going to impact them," Vorbau says.

-- Seiche Sanders with Kari Strobel, Contributing Writer

Mergers and Acquisitions

Lagasse Bros. Inc., Des Plaines, Ill., a subsidiary of United Stationers, recently signed an agreement to acquire Peerless Paper Mills Inc., Oaks, Pa. Peerless currently has annual sales of about $75 million and provides products to more than 2,000 distributor customers across 18 states. Lagasse is one of the nation's leading wholesalers, and operates out of 22 distribution centers.

Bunzl of St. Louis, recently expanded its U.S.-based outsourcing business with the acquisition of Schrier Brothers Inc., New Canaan, Conn., one of the largest redistributors in the Northeast. Assets are estimated at $5.5 million. Bunzl also acquired Koch Supplies Inc., Kansas City, Mo.

AmSan Inc., a subsidiary of American Sanitary Inc., Cary, N.C., announced the acquisition of PBM Distributors, Winslow, N.J. The acquisition will aid AmSan in serving and marketing to the Atlantic City market.

Enviro-Clean of America Inc., has announced that it will no longer look to acquire janitorial supply companies due to marketplace changes and competition. The company recently completed the sale of its June Supply Corp., for $1.4 million to York Supply Ltd. The company will also move its headquarters to San Antonio, Texas, permanently.

The IRS Eases Tax Filing for Small Business
The U.S. Internal Revenue Service (IRS) announced Monday that about 1 million small businesses will soon be able to make tax deposits every quarter, instead of monthly.

"The new standard will reduce the paperwork and red tape that small businesses face," says IRS commissioner Charles Rossotti.

The IRS now allows a business to deposit the income taxes they withhold from employees and social security payroll taxes every three months if the total is less than $1,000 per quarter. Above that level, businesses pay the taxes every month.

Under the new rules, beginning Jan. 1, the threshold for quarterly payments will rise to $2,500. That change affects roughly 1 million businesses.

The change is expected to reduce the number of IRS notices small businesses receive by 70 percent, partly because there will be fewer chances for mistakes. Rossotti said quarterly payments also will improve cash flow for many small businesses.

Once the new rules take effect, businesses with tax deposits less than the $2,500 level per quarter can file using IRS Form 941. Businesses with tax amounts more than $2,500 must deposit the money with an authorized financial institution.

News Makers

Haviland Corp., Linn, Mo., has formed a marketing alliance with Ettore Products Co., Oakland, Calif., a manufacturer of window squeegees, accessories and related products. Haviland manufactures floor squeegees, floor machine rubber replacement parts and applicator and paving tools.

Oreck Corp., New Orleans, and Soft Vac Corp., Silver Spring, Md., recently announced Oreck Corp. will provide the Soft Vac "facility protecting cover" with its new Dual Stack vacuum.

Downer's Grove, Ill.-based ServiceMaster's Terminix subsidiary has acquired the assets of Allied Bruce Terminix Companies Inc., the largest Terminix franchise. This franchise is the fourth largest U.S. pest control company, with estimated revenues of more than $66 million.

Triple S, a distributor sales group, has added Accommodation Mollen Inc., Philadelphia, as a member-dealer.

Royal Appliance Mfg. Co., maker of Dirt Devil floor care products, and O-Cedar Brands, Inc. signed a long-term licensing agreement making O-Cedar the exclusive licensee of the Dirt Devil brand for non-appliance cleaning tools.

Correction
SM's November issue incorrectly stated that Admiral Inc., Toronto, Ontario, Canada, would market Enviroterra, a product of Athea Laboratories Inc., Milwaukee. Enviroterra is an Admiral Inc. product. Athea has the exclusive marketing rights for it.




POSTED ON: 1/1/2001