Petitioner Type: Company
Impact Date:
Filed Date: 05/13/2002
Most Recent Update: 10/31/2002
Determination Date: 10/31/2002
Expiration Date:
Employment and Training Administration
TA-W-41,512
PILLOWTEX CORPORATION
WEAVE PLANT and FINISHING PLANT
PHENIX CITY, ALABAMA
AND
TA-W-41,512A
MAINTENANCE & INDUSTRIAL SERVICES
GREENVILLE, SOUTH CAROLINA
Notice of Determinations 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 May 13, 2002 in response
to a petition filed by a company official on behalf of workers
and former workers at Pillowtex Corporation, Weave and Finishing
Plants, Phenix City, Alabama, and at Maintenance & Industrial
Services, Greenville, South Carolina. The workers at Phenix City
produce towels and washcloths. The workers at Greenville perform
plant maintenance services.
It has been determined that with respect to workers at
Phenix City, all of the criteria have been met.
The investigation revealed that employment and production
levels at the Phenix City facilities decreased during the
relevant period.
The investigation also revealed that Pillowtex commenced the
importation of towels and washcloths in the same period.
A Departmental survey of major customers of the subject firm
revealed that customers increased their purchases of imported
towels and washcloths while decreasing purchases from the subject
firm in January through May 2002.
It has been determined with respect to workers at
Maintenance & Industrial Services, Greenville, South Carolina,
that workers did not produce an article within the meaning of
Section 222(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 maintenance
services at the subject facility.
Conclusions
After careful review of the facts obtained in the
investigation, I conclude that increases of imports of articles
like or directly competitive with towels and wash cloths produced
at Pillowtex Corporation, Phenix City, Alabama contributed
importantly to the decline in sales or production and to the
total or partial separation of workers of the subject firm. In
accordance with the provisions of the Act, I make the following
certification:
"All workers of the Weave Plant and all workers of the
Finishing Plant, Pillowtex Corporation, Phenix City, Alabama
who became totally or partially separated from employment on
or after April 3, 2001 through two years from the date of
certification are eligible to apply for adjustment
assistance under Section 223 of the Trade Act of 1974."
I further determine that all workers at Maintenance &
Industrial Services, Greenville, South Carolina, 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 October 2002.
/s/ Richard Church
______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance