Petitioner Type: Company
Impact Date:
Filed Date: 08/22/2005
Most Recent Update: 09/07/2005
Determination Date: 09/07/2005
Expiration Date:
Employment and Training Administration
TA-W-57,812
SANFORD NORTH AMERICA
POINT MAKING DEPARTMENT
SANTA MONICA, CALIFORNIA
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, 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 August 22, 2005, in
response to a petition filed by a company official on behalf of
workers of the Point Production Department of Sanford North
America, Santa Monica, California. The workers produce points for
pen/pencil production. The points are sent from Santa Monica to an
affiliated plant in Mexico where they are assembled into pens and
pencils.
The investigation revealed that criteria I.C and II.C have not
been met.
As indicated, points produced in Santa Monica are exported to
Mexico. Loss of export sales cannot be used as a basis for
certification under the Trade Act of 1974.
The production of points in Santa Monica is being transferred
to India. India is not a party to a free trade agreement with the
United States, nor is it a beneficiary country under the Andean
Trade Preference Act, the African Growth and Opportunity Act or the
Caribbean Basin Economic Recovery Act. Points manufactured in India
are not imported into the United States. They will be assembled
into pens and pencils in Mexico before importation. The pens and
pencils imported by the subject firm are not like or directly
competitive with the component points made by the subject plant.
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 assis-
tance (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 the
investigation, I determine that all workers of the Point Making
Department of Sanford North America, Santa Monica, California 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 7th day of September 2005
/s/ Richard Church
______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance