Denied
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TAW-53616  /  Watlow Controls (Winona, MN)

Petitioner Type: State
Impact Date:
Filed Date: 11/24/2003
Most Recent Update: 01/14/2004
Determination Date: 01/14/2004
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-53,616

WATLOW CONTROLS
WINONA, MINNESOTA

Negative Determinations 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 (19 USC 2273), the Department of Labor herein presents the results of an investigation regarding certification of eligibility to apply for worker adjustment assistance. The group eligibility requirements for directly-impacted (primary) workers under Section 222(a) the Trade Act of 1974, as amended, can be satisfied in either of two ways:
I. Section (a)(2)(A) all of the following must be satisfied:
A. 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;
B. the sales or production, or both, of such firm or subdivision have decreased absolutely; and
C. increased imports of articles like or directly competitive with articles produced by such firm or subdivision have contributed importantly to such workers’ separation or threat of separation and to the decline in sales or production of such firm or subdivision; or


II. Section (a)(2)(B) both of the following must be satisfied:

A. a significant number or proportion of the workers in such workers' firm, or an appropriate subdivision of the firm firm, have become totally or partially separated, or are threatened to become totally or partially separated;
B. 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

C. One of the following must be satisfied:

1. 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;
2. 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
3. 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.

The investigation was initiated on November 24, 2003 in response to a petition filed by Minnesota State officials on behalf of Watlow Controls, Winona, Minnesota. The workers produce temperature control products, and are not separately identifiable by specific product line.
The investigation revealed that criteria (I.C) and (II.B) have not been met.
The investigation revealed that the subject firm did not import temperature control products; a very small amount of the final assembly of certain products was shifted to Germany for use there.
The United States Department of Labor conducted a survey of major customers of Watlow Controls, Winona, Minnesota, regarding their purchases of temperature control products in 2001, 2002, and January-September 2003. The survey revealed that respondents’ foreign purchases were very minimal in relation to their domestic purchases and minimal in relation to the sales of the subject firm and thus did not contribute importantly to separations at the Winona facility.
In addition, in accordance with Section 246 the Trade Act of 1974 (26 USC 2813), as amended, the Department of Labor herein presents the results of its investigation regarding certification of eligibility to apply for alternative trade adjustment assistance (ATAA) for older workers.   
In order for the Department to issue a certification of eligibility to apply for 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, I determine that workers producing temperature control products at Watlow Controls, Winona, Minne-sota 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 at Washington, D.C., this 14th day of January 2004.

/s/ Richard Church

_____________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance