DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-55,826

DENDRITE INTERNATIONAL
STROUDSBURG, PENNSYLVANIA


Notice of Negative Determination
on Reconsideration

On January 31, 2005, the Department of Labor issued its Notice
of Affirmative Determination Regarding Application for
Reconsideration for workers and former workers of the subject firm.
The Department’s Notice was published in the Federal Register on
February 22, 2005 (70 FR 8638).
The Department’s initial determination was issued on the basis
that the workers did not produce an article within the meaning of
Section 222(a)(2) of the Trade Act.
In the request for reconsideration, the petitioner alleged
that the workers produced an article, licensed pharmaceutical sales
software sold in a physical medium, such as CD-Rom.
During the reconsideration investigation, the Department
contacted several members of the subject worker group and several
company officials to determine whether the workers were engaged in
activity related to the production of an article.
The reconsideration investigation revealed that the workers
used to work for another company that produced sales force
automation software and began working for the subject company when
it was purchased by the subject company in 1999. After the
purchase, the subject company continued to sell the sales force
automation software to vendors within the pharmaceutical industry
and provided related software support and maintenance services to
its clients, such as implementing changes in the software
configuration to adapt to a client’s needs. Sales of the software
ceased in 2002 and the subject facility did not replicate any
software available to the retail public after 2002.
From that time in 2002 until the subject facility closed in
2004, the workers provided software support and maintenance
services. The services rendered pursuant to a service contract
included providing a “bug-fix” solution burned on a CD to a client
in response to a specific problem, sending another copy of the
obsolete software per a client’s request, and updating software via
electronic mail or network messages.
The reconsideration also revealed that those activities which
were moved to Bangalore, India did not subsequently enter the
United States in a physical medium and that the remaining support
services were consolidated into the subject company’s Bethlehem,
Pennsylvania and Bedminster, New Jersey facilities.
Furthermore, because the “bug-fix” solution was not mass-
produced but custom designed to meet specific, one-time needs of an
individual client, it was inherently unique. As such, each “bug-
fix” release was a separate creation of a trouble-solving solution.
Therefore, even if the Department were to consider the “bug-fix” CD
to be a product for purposes of TAA, neither Section 222(a)(2)(B) –
increased imports - nor Section 222 (a)(2)(A) – shift of production
- of the Trade Act would have been met because each solution could
not have been considered “like or directly” competitive with other
custom designed solutions.
Conclusion
After reconsideration, I affirm the original notice of
negative determination of eligibility to apply for worker
adjustment assistance for workers and former workers of Dendrite
International, Stroudsburg, Pennsylvania.
Signed at Washington, D.C., this 1st day of April 2005.

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