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Definition of Stop Work Order

A stop work order means that an employer has to stop all of their operations. No work of any kind is allowed to take place until the stop work order is officially removed or lifted. As it relates to workers' compensation, one of the primary reasons that a stop work order is issued is because an employer does not have workers' compensation insurance in place. A stop work order may also be issued if an employer tries to keep from paying workers' compensation insurance premiums. Doing so can also result in penalties and criminal charges for an employer. A stop work order is a serious matter for an employer that has to be dealt with.

While requirements vary from state to state for getting a stop work order to be removed, it usually means that an employer has to pay the assessed penalties and show evidence of compliance with workers' compensation laws in that state. If an employer does not pay any penalty that is due, the unpaid penalty may be referred to a collection agency to collect.

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