How to Avoid Fines: Tips for Pallet Compliance

January 31, 2025

Staying compliant with pallet regulations is essential for businesses in the pallet industry and beyond. Anyone who makes, sells, or uses pallets needs to understand the important industry standards that dictate hygiene and safety. Failing to meet these regulations can result in costly fines, supply chain disruptions, and even legal trouble. If you’re new to the industry or just want to ensure you follow the latest guidelines, let us walk you through the key pallet compliance requirements for pallets and practical tips to avoid fines.

Understanding Pallet Compliance Regulations

Pallet compliance regulations exist to keep products and people safe, protect supply chains, and prevent the spread of pests. The most common regulations you should be aware of include:

ISPM 15 (International Standards for Phytosanitary Measures No. 15): Required for wooden pallets used in international shipping to prevent the spread of pests.
OSHA (Occupational Safety and Health Administration): U.S. regulations focused on workplace safety, including proper pallet handling and storage.
EPA (Environmental Protection Agency): Governs the use of treated wood and disposal of pallets to minimize environmental impact.
Fire Code Compliance: Local fire departments may have regulations on pallet storage to reduce fire hazards.

Failure to comply with these regulations can lead to fines, rejected shipments, or even a halt in operations.

Tips for Avoiding Fines: Pallet Compliance Strategies

Want to avoid fines? Employ the following tips.

1. Use Heat-Treated (HT) Pallets for International Shipping

If you ship pallets across borders, ISPM 15 compliance is mandatory. All international shipments that contain wood must follow ISPM 15 because this regulation certifies that the wood has been properly treated. Without treatment, wooden pallets can contain pests and diseases that can impact local flora and fauna. Here’s what you need to do:

Check for the ISPM 15 stamp – A certified pallet will have a visible stamp with the treatment code and country of origin. Even recycled or repaired pallets will feature this stamp if they are compliant.
Source from reputable manufacturers – Ensure your supplier follows ISPM 15 standards.
Avoid DIY heat treatments – Only certified providers can properly heat-treat pallets to meet regulations. DIY heat treatments can lead to supply chain slowdowns and fines at customs.

2. Store and Handle Pallets Safely to Meet OSHA Standards

Pallet safety isn’t just about avoiding fines—it’s also about preventing workplace injuries. Workplace injuries can be extremely expensive and lead to lost productivity and team morale. OSHA requires businesses to follow safe pallet storage and handling practices, including:

Stack pallets correctly – Never stack pallets higher than OSHA’s recommended 15 feet (or your local fire code limit). Be sure to check with your local fire department for any local fire code limits.
Inspect pallets regularly – Remove broken or weak pallets from circulation to prevent workplace accidents due to falling stacks.
Train employees on pallet handling – Proper lifting techniques reduce the risk of strain injuries.

Companies can face OSHA fines if unsafe pallet handling leads to workplace injuries or violations.

3. Follow Environmental Guidelines for Pallet Disposal

Disposing old or damaged pallets improperly can lead to environmental damage and potential violations. The EPA and local waste management authorities regulate how businesses should handle wood waste. Here’s how to stay compliant:

Recycle or repurpose pallets – Many pallet recycling companies will take old pallets off your hands.
Avoid illegal dumping – Leaving pallets in unauthorized areas can result in fines.
Check for chemical treatments – Some treated pallets (e.g., MB-treated) require special disposal methods.

Failure to comply with environmental laws can result in hefty fines and legal consequences, which can impact a company’s reputation.

4. Ensure Proper Fire Code Compliance

Wooden pallets are a known fire hazard, so fire departments often have regulations on how they should be stored. Check with your local fire department for any specific regulations they have regarding pallet storage and transportation. To stay compliant:

- Keep pallets away from walls and exits – Many fire codes require at least 3 feet of clearance.
- Limit outdoor pallet stacks – Excessive pallet stacks increase fire risk and may violate local codes.
- Use fire-retardant pallets if required – Some industries may need flame-resistant pallets to meet compliance.

Keep pallets separate – Store pallets in a designated area away from fire-related activities, like welding.

Ignoring fire safety rules can lead to fines or forced removal of pallets.

5. Work with Trusted Suppliers and Partners

One of the best ways to ensure compliance is to source pallets from reputable manufacturers and suppliers. When choosing a pallet provider:

Verify certifications – Ensure they meet ISPM 15, OSHA, and EPA requirements.
Ask about tracking and documentation – Proper paperwork helps prove compliance. This can also help you understand where your pallets come from if there are issues.
Use a trusted platform like Skid Logic – Connecting with verified sellers and manufacturers can help ensure compliance and reduce risks.

Pallet compliance isn’t just about following the rules—it’s about protecting your business, avoiding costly fines, and ensuring a steady supply chain. Stay current with ISPM 15, OSHA, EPA, and fire code regulations, and keep your shipments moving and your workplace safe.