Julie Su Acting United States Secretary of Labor | Official Website
The U.S. Department of Labor has accused K.L.F. Enterprises, a Chicago-based demolition subcontractor, of knowingly exposing its employees to asbestos hazards during the demolition of a former hospital in Waukegan. The company has been cited for 36 safety and health violations following a federal investigation.
In November 2023, the department’s Occupational Safety and Health Administration (OSHA) initiated an inspection after observing K.L.F. employees working without protective gear amidst debris and steel I-beams during the structural demolition of the eight-story former Lakes Behavioral Health hospital.
OSHA concluded that K.L.F. continued its demolition activities despite being aware that the debris piles outside were likely laden with asbestos. The company neither halted work nor required its employees to take appropriate precautions or use established control measures to protect themselves from this long-recognized hazard.
Sukhvir Kaur, Chicago North OSHA Area Director based in Arlington Heights, said, “K.L.F. Enterprises’ decision not to stop work immediately or ensure appropriate control measures were followed when asbestos was clearly visible exposed these employees to a highly carcinogenic material with the potential for permanent, negative long-term health outcomes.” He added that companies would be held accountable when they fail in their duty to protect employee safety and health.
The investigation revealed that K.L.F. had a 2019 building survey identifying extensive use of asbestos but did not inform their employees about these hazards. The agency later determined that the building’s insulation and fireproofing materials contained up to 15 percent chrysotile asbestos and that K.L.F. had failed to notify both Reed Illinois Construction in Chicago and V Covington LLC of Waukegan about the discovery of asbestos at the site during demolition work.
K.L.F. received citations for non-compliance with OSHA’s asbestos regulations, including willful violation for failing to notify employees and other contractors about material containing asbestos, as well as violations related to the company’s failure to require employees to wear protective equipment. The company was also cited for failing to train employees to recognize and avoid unsafe conditions, provide medical surveillance of employees for asbestos, silica and lead exposures, and other deficiencies in handling asbestos, silica and lead materials and waste at the site.
OSHA proposed penalties amounting to $392,002 against K.L.F. The agency also cited Reed Illinois Construction for not ensuring that its subcontractor met federal safety and health standards for asbestos and for failing to inspect the site regularly for safety hazards. The general contractor faces proposed penalties of $32,262.
V Covington LLC received a serious violation citation from OSHA and faces a proposed penalty of $16,131 for failing to ensure K.L.F. Enterprises and another subcontractor, Alliance Environmental Control Inc., complied with the federal asbestos standard. Alliance Environmental Control Inc., based in Lansing, received a serious citation for creating asbestos hazards by not removing asbestos, including fireproofing insulation, and faces a proposed OSHA penalty of $6,452.
K.L.F. Enterprises has been offering demolition and excavation services for residential, commercial, industrial, and municipal clients in the Chicagoland area since 2000. The company operates locations in Chicago and Oak Forest.
The companies have 15 business days from receipt of their citations and penalties to comply or contest the findings before the independent Occupational Safety and Health Review Commission.
