DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-58,224

EATON HYDRAULICS INC.
DESIGN ENGINEERING GROUP
FLUID POWER-HYDRAULICS DIVISION
A SUBSIDARY OF EATON CORPORATION
JACKSON, MICHIGAN

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 October 28, 2005, in
response to a petition filed by a company official on behalf of
workers at Eaton Hydraulics Inc., Design Engineering Group, Fluid
Power-Hydraulics Division, a subsidiary of Eaton Corporation,
Jackson, Michigan. The workers engineered designs from software
for the production of hydraulic and pneumatic cylinders.
Eaton Hydraulics Inc., Fluid Power-Hydraulics division, a
subsidiary of Eaton Corporation, Jackson, Michigan, produces
hydraulic and pneumatic cylinders. Workers in the Design
Engineering Group work with computer design packages to prepare
blueprint type designs that are used in the manufacturing plant to
machine hydraulic and pneumatic cylinder parts and assemblies. The
investigation revealed that the design work will be going to India.
The Department does not consider design and engineering
services the production of an article within the meaning of Section
222 of the Trade Act. Since the designs were used exclusively by
the subject firm, the Department investigated if the Design Group
workers could be certified based on by increases in imports or a
shift in the production of hydraulic and pneumatic cylinders.
The investigation revealed that criteria (a)(2)(A)(I.C) and
(a)(2)(B)(II.B) were not met.
The investigation revealed that the subject firm did not
import hydraulic and pneumatic cylinders, nor did the firm shift
production of hydraulic and pneumatic cylinders to a foreign
country.
Furthermore, the investigation revealed that the subject
firm's sales and production of hydraulic and pneumatic cylinders
did not decline from 2003 to 2004, or in January through October
2005, when compared with the same period of 2004.
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 at Eaton Hydraulics
Inc., Design Engineering Group, Fluid Power-Hydraulics Division, a
subsidiary of Eaton Corporation, Jackson, Michigan, 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 8th day of December 2005.
/s/ Linda G. Poole
______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance