DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-39,035

PRECISION TWIST DRILL CO.
SANDVIK DIVISION
CRYSTAL LAKE, ILLINOIS

Negative Determination Regarding Eligibility
To Apply for Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974 (19 USC
2273) as amended by the Omnibus Trade and Competitiveness Act of
1988 (P. L. 100-418), the Department of Labor herein presents the
results of an investigation regarding certification of
eligibility to apply for worker adjustment assistance.
The investigation was initiated in response to a petition
received on March 12, 2001, and filed on behalf of workers at
Precision Twist Drill Co., Sandvik Division, Crystal Lake,
Illinois. The workers were engaged in warehousing and component
part purchasing.
The investigation revealed that the workers of Precision
Twist Drill Co., Sandvik Division, Crystal Lake, Illinois, Texas
do not produce an article within the meaning of Section 222(3) of
the Act. The Department of Labor has consistently determined
that the performance of services does not constitute production
of an article, as required by Section 222 of the Trade Act of
1974, and this determination has been upheld in the U. S. Court
of Appeals. 

Workers of Precision Twist Drill Co., Sandvik Division,
Crystal Lake, Illinois may be certified only if their separation
was caused importantly by a reduced demand for their services
from a parent firm, a firm otherwise related to the subject firm
by ownership, or a firm related by control. Additionally, the
reduction in demand for services must originate at a production
facility whose workers independently meet the statutory criteria
for certification and the reduction must directly relate to the
product impacted by imports. These conditions have not been met
for workers at the subject firm.
Currently there is a NAFTA Transitional Adjustment
Assistance investigation underway for the same group of workers
at the subject firm NAFTA #4767.
Conclusion
After careful review, I determine that all workers of
Precision Twist Drill Co., Sandvik Division, Crystal Lake,
Illinois, are denied eligibility to apply for adjustment
assistance under Section 223 of the Trade Act of 1974.

Signed in Washington, D. C. this 3rd day of May, 2001.
/s/ Linda G. Poole

LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance