Petitioner Type: Company
Impact Date:
Filed Date: 12/10/2001
Most Recent Update: 12/31/2001
Determination Date: 12/31/2001
Expiration Date:
Employment and Training Administration
TA-W-40,412
ALCATEL USA MARKETING, INC.
ANDOVER, MASSACHUSETTS
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 on December 10, 2001, in response to a petition filed by the company on behalf of workers at Alcatel USA Marketing, Inc., Andover, Massachusetts. The affected workers were employed at an engineering and development facility, which the subject firm decided to permanently close in September 2001. The product that the workers were developing was a network switch for computers. The subject firm ended the development before the product was manufactured.
The investigation revealed that the workers of the subject firm did not produce an article within the meaning of Section 223(3) of the Trade Act of 1974. The Department of Labor has consistently determined that the performance of services does not constitute production of an article, as required by the Trade Act of 1974, and this determination has been upheld in the U. S. Court of Appeals.
Workers of the subject facility 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 performing engineering and development services at the subject facility.
Conclusion
After careful review, I determine that all workers at Alcatel USA Marketing, Inc., Andover, Massachusetts, are denied eligibility to apply for adjustment assistance under Section 223 of the Trade Act of 1974.
Signed in Washington, D. C. this 31st day of December 2001
/s/ Linda G. Poole
______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance