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A recent Fifth Circuit decision strikes the Occupational Safety and Health Administration’s (OSHA) recordkeeping requirement that requires employers to report work-related mental illnesses. The Fifth Circuit in Exxon Mobil Corp. v. Occupational Safety and Health Review Commission, No. 25-60108 (5th Cir. July 21, 2026), ruled that OSHA lacked the statutory authority under the OSHA Act to require OSHA 300 logs for mental health conditions per 29 CFR §1904.5(b)(2)(ix), finding the law covers physical illnesses only. The decision is blunt in its use of the Loper-Bright Enterprises v. Raimondo 603 U.S. 369 (2024) decision where the Supreme Court restricted agency deference when interpreting vague laws. The Fifth Circuit connected illnesses in general to physical ailments and not a stand-alone category. This decision affects the states of Texas, Louisiana, and Mississippi only, so employers in other states must still apply the traditional OSHA framework until other circuit courts or the Supreme Court weigh in. The OSHA framework requires that an employee voluntarily provide a diagnosis from a licensed mental health professional stating the mental illness is work related and meets the general recording criteria. The Fifth Circuit Court opined that documentation is required for all accidents, injuries, or illnesses caused by physical dangers in the workplace, including exposure to toxic materials. To further confuse the recordability and compensability relatedness that naturally exists between OSHA recording requirements and state workers’ compensation programs, it is important to note that most state workers’ compensation programs provide some form of coverage for mental illness. Based on an open-access 2024 study published by Springer Nature, workers’ compensation coverage is available in all 50 states for physical-to-mental injuries, in 44 states for mental-to-physical injuries, and in 40 states for mental-to-mental injuries. Typically, states apply restrictions to coverage, such as the physical injury must lead to the psychological condition, like depression or anxiety, or a sudden, unexpected, and traumatic event (e.g., being an eyewitness to a horrible accident) must lead to post-traumatic stress disorder (PTSD). Almost all states provide coverage for first responders, such as emergency personnel and police officers who experience PTSD. The takeaway is that until further court decisions, recordability of a diagnosed mental illness is required in OSHA and State Plan states except for Texas, Louisiana, and Mississippi. What is not covered under OSHA recordability requirements is general work stress due to daily work pressures, heavy workloads, and constant deadlines, to name a few. Also not covered are legitimate personnel actions such as reductions in force, poor performance evaluations, transfers, and terminations. The issue of OSHA recordability will likely be triggered when an employee files a claim of mental illness under the state’s workers’ compensation laws, seeking a favorable compensability ruling. However, the timing for defending the workers’ compensation claim diverges from the timeliness of recording the illness on the 300 log once documentation has been provided per the standard. If an employer is uncertain, they can reach out to Steptoe & Johnson’s workplace safety team. |
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