Denied
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TAW-55255  /  Pinnacle Steel Processing (Jefferson City, TN)

Petitioner Type: Company
Impact Date: 07/13/2003
Filed Date: 07/15/2004
Most Recent Update: 08/12/2004
Determination Date: 08/12/2004
Expiration Date: 01/14/2007

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-55,255

PINNACLE STEEL PROCESSING, INC.
INCLUDING LEASED WORKERS OF ATWORK PERSONNEL SERVICES, INC.
AND STAFFING SOLUTIONS
JEFFERSON CITY, TENNESSEE

Notice of Revised Determination
on Reconsideration

By letter dated October 11, 2004, a company official requested
administrative reconsideration regarding the Department’s Negative
Determination Regarding Eligibility to Apply for Worker Adjustment
Assistance and Alternative Trade Adjustment Assistance (ATAA),
applicable to the workers of the subject firm.
The initial investigation resulted in a negative determination
issued on August 12, 2004, based on the finding that the
petitioning group of workers does not qualify as secondarily
affected workers as suppliers to a firm or subdivision primarily
affected by increased imports or a shift in production abroad, nor
did imports of slit steel coil contribute importantly to worker
separations at the subject firm. The denial notice was published
in the Federal Register on September 8, 2004 (69 FR 54321).
To support the request for reconsideration, the company
official supplied additional major customers to supplement those
that were surveyed during the initial investigation. Upon further
review and survey, it was revealed that a major customer of the
subject firm increased their purchases of imported slit steel coil
significantly, while decreasing their purchases of domestically
produced slit steel coil during the relevant period.
In addition, in order for the Department to issue a
certification of eligibility to apply for ATAA, the group
eligibility requirements of Section 246 of the Trade Act must be
met. The Department has determined in this case that the
requirements of Section 246 have been met.
A significant number of workers at the firm are age 50 or over
and possess skills that are not easily transferable. Competitive
conditions within the industry are adverse.



Conclusion
After careful review of the additional facts obtained on
reconsideration, I conclude that increased imports of articles like
or directly competitive with those produced at Pinnacle Steel
Processing, Inc., Jefferson City, Tennessee, contributed
importantly to the declines in sales or production and to the total
or partial separation of workers at the subject firm. In
accordance with the provisions of the Act, I make the following
certification:
"All workers of Pinnacle Steel Processing, Inc., Jefferson
City, Tennessee including leased workers of AtWork Personnel
Services, Inc., and Staffing Solutions, working at Pinnacle
Steel Processing, Inc., Jefferson City, Tennessee, who became
totally or partially separated from employment on or after
July 13, 2003 through two years from the date of this
certification, are eligible to apply for adjustment assistance
under Section 223 of the Trade Act of 1974, and are also
eligible to apply for alternative trade adjustment assistance
under Section 246 of the Trade Act of 1974."

Signed in Washington, D.C. this 14th day of January 2005.

/s/ Elliott S. Kushner
________________________
ELLIOTT S. KUSHNER
Certifying Officer, Division of
Trade Adjustment Assistance


DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-55,255

PINNACLE STEEL PROCESSING, INC.
JEFFERSON CITY, TENNESSEE

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 (19 USC
2273), as amended, the Department of Labor herein presents the
results of an investigation regarding certification of eligibility
to apply for worker adjustment assistance as an adversely affected
secondary group.
An investigation was conducted in order to determine whether
the petitioning group of workers qualifies as adversely affected
secondary workers as suppliers to a firm or subdivision primarily
affected by increased imports or a shift of production abroad.
In order to make an affirmative determination and issue a
certification of eligibility to apply for adjustment assistance,
the following group eligibility requirements under Section 222(b)
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 (or subdivision) is a supplier or
downstream producer to a firm (or subdivision) that
employed a group of workers who received a certification
of eligibility to apply for trade adjustment assistance
benefits 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 for the firm (or subdivision) 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
(or subdivision) described in paragraph (2) contributed
importantly to the workers’ separation or threat of
separation.

The investigation was initiated on July 15, 2003 in response
to a petition filed by a company official on behalf of workers of
Pinnacle Steel Processing, Inc., Jefferson City, Tennessee. The
workers at the subject facility slit steel coils.
The investigation revealed that criterion (2) has not been
met.
The investigation revealed that although the subject facility
is a supplier to three firms that employed a group of workers who
have received a certification of eligibility to apply for trade
adjustment assistance, two of those certifications expired in 2003.
Furthermore, the loss of business from the third firm did not
represent a significant portion of the subject firm’s sales and did
not contribute importantly to separations at the subject firm.
In addition, the investigation revealed that the subject firm
did not import slit steel coils during the relevant period, nor did
they shift production to a foreign country.
Moreover, the Department of Labor surveyed the subject firm’s
major customers regarding their purchases of slit steel coils
during 2002, 2003, and January through June 2004. This survey
revealed no imports of slit steel coils during the period under
investigation.
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 workers of Pinnacle Steel
Processing, Inc., Jefferson City, Tennessee are denied eligibility
to apply for adjustment assistance under section 223 of the Trade
Act of 1974, and alternative trade adjustment assistance under
Section 246 of the Trade Act of 1974.
Signed at Washington, D.C., this 12th day of August 2004.

/s/ Richard Church
__
Richard Church
Certifying Officer, Division of
Trade Adjustment Assistance