DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-80,036

JABIL CIRCUIT OF TEXAS
INCLUDING ON-SITE LEASED WORKERS FROM SMX
MCALLEN, TEXAS

Notice of Revised Determination
on Reconsideration


The initial investigation, initiated March 10, 2011, resulted
in a negative determination, issued on July 15, 2011, that was
based on the firm not producing an article. The notice of negative
determination was published in the Federal Register on August 1,
2011 (76 FR 45880). The worker group includes workers of Jabil
Circuit of Texas, McAllen, Texas. The worker group also includes
on-site lease workers from SMX. The workers are engaged in
activities related to provision of aftermarket services for
electronic products.
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 the shift of services to a foreign location
reviewed during the reconsideration investigation, the Department
of Labor determines that this worker group satisfies the criteria
for certification.
Section 222(a)(1) has been met because a significant number
or proportion of the workers in such workers’ firm have become
totally or partially separated, or are threatened to become totally
or partially separated.
Section 222(a)(2)(B) has been met because the workers’ firm
has shifted to a foreign country the supply of a service like or
directly competitive with the service supplied by the workers which
contributed importantly to worker group separations at the
subject firm.













Conclusion
After careful review, of the additional facts obtained on
reconsideration, I determine that workers of Jabil Circuit of
Texas, including on-site leased workers from SMX, McAllen, Texas,
who were engaged in employment related to the provision of
aftermarket services for electronic products, meet the worker group
certification criteria under Section 222(a) of the Act, 19 U.S.C. §
2272(a). In accordance with Section 223 of the Act, 19 U.S.C. §
2273, I make the following certification:
"All workers of Jabil Circuit of Texas, including on-site
leased workers from SMX, McAllen, Texas, who became totally or
partially separated from employment on or after March 9, 2010,
through two years from the date of this certification, and all
workers in the group threatened with total or partial
separation from employment on December 20, 2011 through two
years from the date of certification, are eligible to apply
for adjustment assistance under Chapter 2 of Title II of the
Trade Act of 1974, as amended.”

Signed in Washington, D.C., this 17th day of November, 2011

/s/ Elliott S. Kushner

______________________________
ELLIOTT S. KUSHNER
Certifying Officer, Office of
Trade Adjustment Assistance


DEPARTMENT OF LABOR
Employment and Training Administration
TA-W-80,036

JABIL CIRCUIT OF TEXAS
MCALLEN, TEXAS

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 10, 2011 on behalf of workers of Jabil Circuit of
Texas, McAllen, Texas. The workers’ firm is engaged in activities
related to the supply of aftermarket services (warranty and repair
services).
The workers claimed that production was moved to Mexico.
During the course of the investigation, information was collected
from the workers’ firm.
The investigation revealed that Jabil Circuit of Texas,
McAllen, Texas, 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; rather, the workers’ firm supplied services related to
aftermarket services (repair and warranty services).
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 Jabil Circuit of
Texas, McAllen, Texas engaged in activities related to the supply
of aftermarket services (repair and warranty services) 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 15th day of July, 2011


/s/Michael W. Jaffe
______________________________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance








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