Petitioner Type: Union
Impact Date:
Filed Date: 07/09/2001
Most Recent Update: 12/17/2001
Determination Date: 12/17/2001
Expiration Date:
Employment and Training Administration
TA-W-39,578
MCLAUGHLIN COMPANY
A DIVISION OF MICHIGAN RIVET CORPORATION
PETOSKEY, MICHIGAN
Negative Determination Regarding Eligibility
To Apply for Trade 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.
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 separated;
(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 July 9, 2001 in response to a petition filed by the United Autoworkers Union on behalf of workers at McLaughlin Company, a Division of Michigan Rivet Corporation, Petoskey, Michigan. The workers produce internally threaded fasteners and cold forming headers.
The investigation revealed that criterion (3) has not been met.
The Department conducted a customer survey of the subject firm=s major declining customers regarding their purchases of internally threaded fasteners and cold forming headers in 1999, 2000 and January through July 2000-2001. The survey responses reveal no purchases of cold forming headers from foreign sources or from other domestic sources that had this product wholly manufactured in a foreign country.
Research of aggregate data reveals a decline in imports of internally threaded fasteners and cold forming headers during January through September 2001 when compared to the same time period in 2000. Layoffs at the subject company began in June 2000.
The petitioners claim that increased imports of foreign cars and a decline in domestic car sales have contributed to layoffs at the firm. The Department is required to examine imports of articles like or directly competitive with those produced at the petitioning workers= firm. Imports of automobiles cannot be considered like or directly competitive with fasteners and headers produced by the petitioning worker group.
Conclusion
After careful review, I determine that all workers of McLaughlin Company, a Division of Michigan Rivet Corporation, Petoskey, Michigan are denied eligibility to apply for adjustment assistance under Section 223 of the Trade Act of 1974.
Signed in Washington, D. C. this 17th day of December, 2001
/s/ Edward A. Tomchick
EDWARD A. TOMCHICK
Director, Division of
Trade Adjustment Assistance