Petitioner Type: Company
Impact Date:
Filed Date: 03/09/2011
Most Recent Update: 05/04/2011
Determination Date: 05/04/2011
Expiration Date:
Employment and Training Administration
TA-W-80,034
TENNESSEE VALLEY PARTS LLC
FORT PAYNE, ALABAMA
Notice of Negative Determination
on Reconsideration
The initial investigation, initiated March 9, 2011, resulted
in a negative determination, issued on May 4, 2011, that was based
on no production of an article. It was determined that the workers’
firm supplied retail sales services. The negative determination
was applicable to workers and former workers of Tennessee Valley
Parts LLC, Fort Payne, Alabama (Tennessee Valley Parts). The
notice of negative determination was published in the Federal
Register on May 23, 2011 (76 FR 29801). Workers at Tennessee
Valley Parts sold hosiery machine parts. The subject worker
group does not include any on-site leased or temporary workers.
As required by the Trade Adjustment Assistance (TAA) Extension
Act of 2011 (the TAAEA), the investigation into this petition was
reopened for a reconsideration investigation to apply the
requirements for worker group eligibility under chapter 2 of title
II of the Trade Act of 1974, as amended by the TAAEA, to the facts
of this petition.
Based on information carefully reviewed during the
reconsideration investigation, the Department of Labor determines
that the worker group does not meet the criteria for certification.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that Tennessee Valley Parts did not
produce an article and that there were no increased imports of
services like of directly competitive with the retail sales
services supplied by Tennessee Valley Parts.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that Tennessee Valley Parts did not shift
the supply of retail sale services (or a like or directly
competitive service) to a foreign county or acquire such services
from a foreign county.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Tennessee Valley Parts is not a
Supplier to a firm that employed a group of workers who received a
certification of eligibility under Section 222(a) of the Act, 19
U.S.C. § 2272(a).
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Tennessee Valley Parts does not act
as a Downstream Producer to a firm (or subdivision, whichever is
applicable) that employed a group of workers who received a
certification of eligibility under Section 222(a) of the Act, 19
U.S.C. § 2272(a).
Finally, the group eligibility requirements under Section
222(e) of the Act, have not been met since Tennessee Valley Parts
has not been publically identified by name by the International
Trade Commission as a member of a domestic industry in an
investigation resulting in an affirmative finding of serious
injury, market disruption, or material injury, or threat thereof.
Conclusion
After careful review, I determine that the requirements of
Section 222 of the Act, 19 U.S.C. § 2272, have not been met and,
therefore, deny the petition for group eligibility of Tennessee
Valley Parts LLC, Fort Payne, Alabama, to apply for adjustment
assistance, in accordance with Section 223 of the Act, 19 U.S.C. §
2273.
Signed in Washington, D.C. this 25th day of November, 2011
/s/ Del Min Amy Chen
______________________________
DEL MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance
DEPARTMENT OF LABOR
Employment and Training Administration
TA-W-80,034
TENNESSEE VALLEY PARTS LLC
FORT PAYNE, ALABAMA
Negative Determination Regarding Eligibility
To Apply For Worker Adjustment Assistance
And Alternative Trade Adjustment Assistance
In accordance with Section 223 of the Trade Act of 1974, as
amended (“Act”), 19 U.S.C. § 2273, the Department of Labor herein
presents the results of an investigation regarding certification of
eligibility to apply for worker adjustment assistance.
Workers of a firm may be eligible for worker adjustment
assistance if they satisfy the criteria of subsection (a) and (b)
of Section 222 of the Act, 19 U.S.C. § 2272(a) and (b). For the
Department of Labor to issue a certification for workers under
Section 222(a) of the Act, 19 U.S.C. § 2272(a), the following three
criteria must be met:
(1) The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2272(a)(1)) requires that a significant
number or proportion of the workers in such workers' firm, or
an appropriate subdivision of the firm, have become totally or
partially separated, or are threatened to become totally or
partially separated
(2) The second criterion (set forth in Section 222(a)(2) of the
Act, 19 U.S.C. § 2272(a)(2)) may be satisfied in one of two
ways:
(A) Increased Imports Path:
(i) sales or production, or both, at the workers’ firm must
have decreased absolutely, AND
(ii) imports of articles like or directly competitive with
articles produced by such firm or subdivision have
increased; and
(iii) the increase described in clause (ii) contributed
importantly to such workers’ separation or threat of
separation and to the decline in the sales or
production of such firm or subdivision.
(B) Shift in Production Path:
(i) there has been a shift in production by such workers’
firm or subdivision to a foreign country of articles like
or directly competitive with articles which are produced
by such firm or subdivision; and
(ii)(I) the country to which the workers’ firm has
shifted production of the articles is a party to a free
trade agreement with the United States;
(II)the country to which the workers’ firm has
shifted production of the articles is a beneficiary
country under the Andean Trade Preference Act, African
Growth and Opportunity Act, or the Caribbean Basin
Economic Recovery Act; or
(III)there has been or is likely to be an increase in
imports of articles that are like or directly
competitive with articles which are or were produced by
such firm or subdivision.
For the Department to issue a secondary worker certification
under Section 222(b) of the Act, 19 U.S.C. § 2272(b), to workers of
a Supplier or a Downstream Producer, the following criteria must be
met:
(1) a significant number or proportion of the workers in the
workers’ firm or an appropriate subdivision of the firm
have become totally or partially separated, or are
threatened to become totally or partially separated;
(2) the workers’ firm is a Supplier or Downstream Producer to
a firm that employed a group of workers who received a
certification of eligibility under Section 222(a) of the
Act, 19 U.S.C. § 2272(a), and such supply or production
is related to the article that was the basis for such
certification; and
(3) either
(A) the workers’ firm is a supplier and the component parts
it supplied to the firm described in paragraph (2)
accounted for at least 20 percent of the production or
sales of the workers’ firm; or
(B) a loss of business by the workers’ firm with the firm
described in paragraph (2) contributed importantly to the
workers’ separation or threat of separation.
Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms “Supplier” and “Downstream Producer.”
The investigation was initiated in response to a petition
filed on March 9, 2011 by a company official on behalf of workers
of Tennessee Valley Parts LLC, Fort Payne, Alabama. The workers’
firm is engaged in activities related to the supply of sales
services of hosiery machine parts produced by a third party.
The filing company official stated that the production of
socks and equipment have been moved to Honduras.
During the course of the investigation, information was
collected from the workers’ firm.
The investigation revealed that Tennessee Valley Parts LLC,
Fort Payne, Alabama, does not produce an article within the
meaning of Section 222(a) or Section 222(b) of the Act. In order
to be considered eligible to apply for adjustment assistance under
Section 223 of the Trade Act of 1974, the worker group seeking
certification (or on whose behalf certification is being sought)
must work for a “firm” or appropriate subdivision that produces an
article. The definition of a firm includes an individual
proprietorship, partnership, joint venture, association,
corporation (including a development corporation), business trust,
cooperative, trustee in bankruptcy, and receiver under decree of
any court.
During the investigation, the Department of Labor obtained
information that revealed that the workers’ firm did not produce an
article (i.e. socks or equipment); rather, the workers’ firm
supplied services related to sales of hosiery machine parts.
In order for the Department to issue a certification of
eligibility to apply for alternative trade adjustment assistance
(ATAA), the worker group must be certified eligible to apply for
trade adjustment assistance (TAA). Since the workers are denied
eligibility to apply for TAA, the workers cannot be certified
eligible for ATAA.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that all workers of Tennessee Valley
Parts LLC, Fort Payne, Alabama, engaged in activities related to
the supply of sales services of hosiery machine parts are denied
eligibility to apply for adjustment assistance under Section 223 of
the Trade Act of 1974, and are also denied eligibility to apply for
alternative trade adjustment assistance under Section 246 of the
Trade Act of 1974.
Signed in Washington, D.C., this 4th day of May, 2011
/s/Michael W. Jaffe__________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance
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