Denied
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TAW-57468  /  Milwaukee Electric Tool Corp. (Brookfield, WI)

Petitioner Type: State
Impact Date:
Filed Date: 06/29/2005
Most Recent Update: 07/18/2005
Determination Date: 07/18/2005
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-57,468

MILWAUKEE ELECTRIC TOOL CORPORATION
BROOKFIELD PLANT
BROOKFIELD, WISCONSIN


Notice of Negative Determination
on Reconsideration

On September 12, 2005, the Department issued an Affirmative Determination Regarding Application for Reconsideration for the workers and former workers of the subject firm. The Notice of determination was published in the Federal Register on September 19, 2005 (70 FR 54965). Workers produced electric power tool accessories.
On June 29, 2005, the Department instituted the petition, dated June 24, 2005, filed by a representative of the State of Wisconsin on behalf of workers and former workers of Milwaukee Electric Tool Corporation, Brookfield Plant, Brookfield, Wisconsin. The Department initially denied Trade Adjustment Assistance (TAA) and Alternative Trade Adjustment Assistance (ATAA) to workers and former workers of the subject company because while electric power tool accessory production at the subject facility ceased in December 2004, the subject company’s customers did not increase import purchases of electric power tool accessories during the relevant period and production shifted from the subject facility to another domestic location.
In the request for reconsideration, the State representative sought clarification of the Department’s negative determination. The State representative inferred that the subject company imported electric power tool accessories and alleged in a telephone conversation that a major customer was importing electric power tool accessories.
The Secretary of Labor may certify as eligible for TAA benefits only those workers who, during the twelve month period prior to the petition date, are employed in the subdivision that produced the article that is adversely affected by imports of like or directly competitive articles. Therefore, the Department requested information from the subject company in order to determine what articles were produced at the subject firm during the relevant period.
Specifically, the Department requested information from the subject company about sales, production, import, and employment figures for Milwaukee Electric Tool Corporation, Brookfield, Wisconsin for the periods 2003, 2004, January through June 2004, and January through June 2005.
The Department received information which confirmed that production ceased in December 2004, that the articles produced during the relevant period are various types of electric power tool accessories (sawzall blades, holesaws and self-feed bits), and that the subject company did not import those articles during the relevant period.
The Department also inquired into the allegation that a major customer was importing electric power tool accessories. The results of the reconsideration investigation refuted this allegation and confirmed that the subject company’s major declining customers did not import articles like or directly competitive with those produced at the subject facility during the relevant period.
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 Milwaukee Electric Tool Corporation, Brookfield Plant, Brookfield, Wisconsin.
Signed at Washington, D.C., this 29th day of November 2005.

/s/ Richard Church

_______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance

U.S. DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-57,468

MILWAUKEE ELECTRIC TOOL CORPORATION
BROOKFIELD PLANT
BROOKFIELD, WISCONSIN


Notice of Affirmative Determination
Regarding Application for Reconsideration

By application dated August 24, 2005, a State of Wisconsin agency representative requested administrative reconsideration of the Department of Labor's Notice of Negative Determination Regarding Eligibility to Apply for Worker Adjustment Assistance, applicable to workers of the subject firm. The determination was signed on July 18, 2005, and published in the Federal Register on August 26, 2005 (70 FR 50411).
The determination stated that electric power tool accessory production at the subject facility ceased in December 2004, that production shifted to other domestic locations, that the subject company imported during 2003 and 2004, and that subject company customers did not import during the relevant period.
The State agent requested reconsideration to clarify the basis for the negative determination.
Upon careful review of the request for reconsideration, the Department has determined that there is basis to conduct further investigation to determine whether the subject workers are eligible to apply for worker adjustment assistance.


Conclusion
After careful review of the application, I conclude that the claim is of sufficient weight to justify reconsideration of the Department of Labor's prior decision. The application is, therefore, granted.
Signed at Washington, D.C., this 12th day of September 2005

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


DEPARTMENT OF LABOR
Employment and Training Administration
TA-W-57,468

MILWAUKEE ELECTRIC TOOL CORP
BROOKFIELD PLANT
BROOKFIELD, WISCONSIN

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. 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, 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 June 29, 2005, in response to a petition filed by a state agency representative on behalf of workers at Milwaukee Electric Tool Corp., Brookfield Plant, Brookfield, Wisconsin. The workers at the subject firm produced accessories for electric power tools, specifically, sawzall blades, holesaws, and battery terminals.
The investigation revealed that criteria (a)(2)(A)(I.C) and (a)(2)(B)(II.B) have not been met.
Production of accessories for electric power tools at the subject facility ceased in December 2004. That production was transferred to other domestic locations.
The subject firm did import accessories for electric power
tools, specifically, sawzall blades, holesaws, or battery terminals during 2003 or 2004, nor did it shift production abroad.
Major declining customers of the subject firm were surveyed regarding their purchase accessories for electric power tools, specifically, sawzall blades, holesaws, and battery terminals during the relevant period. This survey revealed that customers did not purchase these articles from foreign sources during the relative period.
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 of the facts obtained in this investigation, I determine that all workers of Milwaukee Electric Tool Corp., Brookfield Plant, Brookfield, Wisconsin 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 18th day of July 2005.


LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance