DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-39,230

CHAHAYA OPTRONICS, INC.
FREMONT, CALIFORNIA

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 eligi-
bility to apply for worker adjustment assistance.
In order to make an affirmative determination and issue a
certification of eligibility to apply for adjustment assistance,
each of the group eligibility requirements of Section 222 of the
Act must be met:
(1) that a significant number or proportion of the workers
in the workers' firm, or an appropriate subdivision
thereof, have become totally or partially separated, or
are threatened to become totally or partially separat-

ed;

(2) that sales or production, or both, of the firm or
subdivision have decreased absolutely; and

(3) that increases of imports of articles like or directly
competitive with articles produced by the firm or
appropriate subdivision have contributed importantly to
the separations, or threat thereof, and to the absolute
decline in sales or production.

The investigation was initiated on May 14, 2001, in response
to a petition filed by workers on behalf of all workers at
Chahaya Optronics, Inc., Fremont, California. Although the name
Komag, Inc. Technology Corp. was also listed on the petition
form, the workers were not separated from their employment with
that firm. The employer for this worker group is Chahaya
Optronics, Inc. The workers were engaged in employment related
to the production of media hard disks.
The investigation revealed that criterion (3) has not been
met.
The petition investigation revealed that Chahaya Optronics
Inc. began the business January 2001. The company was previously
HMT Technology which merged with Komag Inc. and maintained the
Komag name. Employees of Komag were given offers to become
Chahaya employees. In April 2001, Chahaya gave layoff notices to
a significant number of employees. Layoffs are attributable to
the transfer of media hard disk production to a foreign country.
The subject firm does not import products like or directly
competitive with those produced at the subject facility.
Conclusion
After careful review, I determine that all workers of
Chahaya Optronics, Inc., Fremont, California are denied eligi-

bility to apply for adjustment assistance under Section 223 of
the Trade Act of 1974.

Signed in Washington, D.C. this 11th day of July, 2001.


/s/ Linda G. Poole
______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance