UNITED STATES DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-98,259

ARKWRIGHT ADVANCED COATING INC.

DOING BUSINESS AS SIHL INC.

A SUBSIDIARY OF SIHL I HOLDING AG

FISKEVILLE, RHODE ISLAND

Negative Determinations Regarding Eligibility

To Apply for Worker Adjustment Assistance

And Alternative Trade Adjustment Assistance

TRADE ADJUSTMENT ASSISTANCE

In accordance with Section 223 of the Trade Act of 1974, as
amended (the Act), 19 U.S.C. § 2273, the Department of Labor
(Department) 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 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 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 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 Trade
Adjustment Assistance for Workers (TAA) and Alternative Trade
Adjustment Assistance (ATAA) petition dated April 12, 2022 and filed
on April 13, 2022 by the New England Joint Board UNITE HERE, on
behalf of former workers of Arkwright Advanced Coating Inc., doing
business as Sihl Inc., a subsidiary of Sihl I Holding AG, Fiskeville,
Rhode Island (hereafter referred to as "Arkwright/Sihl-Fiskeville").
In accordance with 20 C.F.R. 618.110 a worker group is defined as,
""¦including teleworkers and staffed workers." Arkwright/Sihl-
Fiskeville is engaged in activities related to the production of
coated paper and film used for product marketing signage, labels and
tags, and flexible packaging.

The petition alleges that worker separations, or threats
thereof, at Arkwright/Sihl-Fiskeville is due to an increased
reliance on foreign operations ("Sihl has specifically reduced
operations at its US plant in favor of European factories").

During the course of the investigation, the Department
collected information from the petitioner(s) and the workers' firm.

With respect to Section 222(a)(2)(A)(i) of the Act, the
investigation revealed neither sales nor production decline at
Arkwright/Sihl-Fiskeville during the relevant period (the 1-year
period prior to the petition date).

With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the workers' firm did not shift
production of coated paper and film, or a like or directly
competitive article, to a foreign country. Rather, production
shifted from the Fiskeville, Rhode Island facility to an affiliated
domestic facility.

With respect to Section 222(b)(2) of the Act, the
investigation revealed that Arkwright/Sihl-Fiskeville 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), and does not act as a 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),
based on an increase in imports from, or a shift in production to,
Canada or Mexico.

ALTERNATIVE TRADE ADJUSTMENT ASSISTANCE

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). Because the worker group is denied
eligibility to apply for TAA, the worker group cannot be certified
eligible for ATAA.

Conclusion

After careful review of the facts obtained in the investigation,
I determine that all workers of Arkwright Advanced Coating Inc.,
doing busines as Sihl Inc., a subsidiary of Sihl I Holding AG,
Fiskeville, Rhode Island, 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 11th day of May, 2022


/s/ Del-Min Amy Chen
_______________________
DEL-MIN AMY CHEN

Certifying Officer, Office of

Trade Adjustment Assistance