Petitioner Type: Workers
Impact Date: 03/22/2005
Filed Date: 03/23/2006
Most Recent Update: 05/02/2006
Determination Date: 05/02/2006
Expiration Date: 07/06/2008
DEPARTMENT OF LABOR
Employment and Training Administration
TA-W-59,078
HEXION SPECIALTY CHEMICALS, INC.
FFP DIVISION
INCLUDING ON-SITE LEASED WORKERS OF EXPRESS PERSONNEL
HIGH POINT, NORTH CAROLINA
Notice of Revised Determination
on Reconsideration
By application dated May 11, 2006, a worker requested
administrative reconsideration regarding the Department’s
Negative Determination Regarding Eligibility to Apply for Worker
Adjustment Assistance, applicable to workers of the subject firm.
The Notice of Affirmative Determination Regarding Application for
Reconsideration was issued on May 16, 2006, and was published in
the Federal Register on May 25, 2006 (71 FR 30200). Workers
produce wood adhesives and ancillary products.
In the request for reconsideration, the worker alleges that
the subject firm supplied wood adhesive to customers affected by
increased imports of wood furniture.
During the reconsideration investigation, the Department
contacted the subject firm and was informed that the adhesive
produced by the subject workers is a component of wood furniture.
Based on this new information, the Department conducted an
investigation to determine whether the subject workers are
eligible to apply for Trade Adjustment Assistance (TAA) as
workers of a secondarily-affected company (supplier to a firm
that employed workers who received a certification and such
supply is related to the article that was the basis for such
certification). As part of this investigation, the Department
reviewed comprehensive information from the subject firm
regarding 2004 and 2005 sales figures of wood adhesives.
A careful analysis of this information and a careful search
of the TAA database revealed that a significant number of the
sixteen major declining customers who were TAA certified during
the relevant period had ceased production. Therefore, the
Department determines that the loss of the business by those
customers contributed importantly to the workers’ separations at
the subject firm.
In accordance with Section 246 the Trade Act of 1974 (26 USC
2813), as amended, the Department 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 group eligibility requirements
of Section 246 of the Trade Act must be met. The Department has
determined in the case at hand 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 information obtained in the
reconsideration investigation, I determine that workers of the
subject firm qualify as adversely affected secondary workers
under Section 222 of the Trade Act of 1974, as amended. In
accordance with the provisions of the Act, I make the following
certification:
"All workers of Hexion Specialty Chemicals, Inc., FFP
Division, High Point, North Carolina, including leased
workers of Express Personnel working on site, who became
totally or partially separated from employment on or after
March 22, 2005 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 eligible to apply for alternative trade adjustment
assistance under Section 246 of the Trade Act of 1974."
Signed in Washington, D.C. this 6th day of July 2006.
/s/ Elliott S. Kushner
_________________________________
ELLIOTT S. KUSHNER
Certifying Officer, Division of
Trade Adjustment Assistance
DEPARTMENT OF LABOR
Employment and Training Administration
TA-W-59,078
HEXION SPECIALTY CHEMICALS, INC.
FFP DIVISION
INCLUDING ON-SITE LEASED WORKERS OF EXPRESS PERSONNEL
HIGH POINT, NORTH CAROLINA
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 March 23, 2006 in response
to a petition filed on behalf of workers of Hexion Specialty
Chemicals, Inc., FFP Division, High Point, North Carolina. The
workers produce specialty wood adhesives and ancillary products.
The subject firm leased on-site workers from Express Personnel.
The investigation revealed that (a)(2)(A)(I.C) and
(a)(2)(B)(II.B) have not been met.
The subject firm did not increase imports of wood adhesives,
nor did it shift production abroad. It is, however, transferring
production from High Point to other locations in the United States.
The Department of Labor surveyed the subject firm’s major
declining customers regarding their purchases of specialty wood
adhesive and ancillary products in 2004, 2005, and January through
March, 2005-2006. Respondents indicated that they did not increase
imports in the relevant periods, but did increase purchases from
other domestic sources.
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 the
investigation, I determine that all workers of Hexion Specialty
Chemicals, Inc., FFP Division, High Point, North Carolina,
including on-site leased workers of Express Personnel, 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 2nd day of May 2006
/s/Richard Church
______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance
Employment and Training Administration
TA-W-59,078
HEXION SPECIALTY CHEMICALS, INC.
FFP DIVISION
INCLUDING ON-SITE LEASED WORKERS OF EXPRESS PERSONNEL
HIGH POINT, NORTH CAROLINA
Notice of Revised Determination
on Reconsideration
By application dated May 11, 2006, a worker requested
administrative reconsideration regarding the Department’s
Negative Determination Regarding Eligibility to Apply for Worker
Adjustment Assistance, applicable to workers of the subject firm.
The Notice of Affirmative Determination Regarding Application for
Reconsideration was issued on May 16, 2006, and was published in
the Federal Register on May 25, 2006 (71 FR 30200). Workers
produce wood adhesives and ancillary products.
In the request for reconsideration, the worker alleges that
the subject firm supplied wood adhesive to customers affected by
increased imports of wood furniture.
During the reconsideration investigation, the Department
contacted the subject firm and was informed that the adhesive
produced by the subject workers is a component of wood furniture.
Based on this new information, the Department conducted an
investigation to determine whether the subject workers are
eligible to apply for Trade Adjustment Assistance (TAA) as
workers of a secondarily-affected company (supplier to a firm
that employed workers who received a certification and such
supply is related to the article that was the basis for such
certification). As part of this investigation, the Department
reviewed comprehensive information from the subject firm
regarding 2004 and 2005 sales figures of wood adhesives.
A careful analysis of this information and a careful search
of the TAA database revealed that a significant number of the
sixteen major declining customers who were TAA certified during
the relevant period had ceased production. Therefore, the
Department determines that the loss of the business by those
customers contributed importantly to the workers’ separations at
the subject firm.
In accordance with Section 246 the Trade Act of 1974 (26 USC
2813), as amended, the Department 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 group eligibility requirements
of Section 246 of the Trade Act must be met. The Department has
determined in the case at hand 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 information obtained in the
reconsideration investigation, I determine that workers of the
subject firm qualify as adversely affected secondary workers
under Section 222 of the Trade Act of 1974, as amended. In
accordance with the provisions of the Act, I make the following
certification:
"All workers of Hexion Specialty Chemicals, Inc., FFP
Division, High Point, North Carolina, including leased
workers of Express Personnel working on site, who became
totally or partially separated from employment on or after
March 22, 2005 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 eligible to apply for alternative trade adjustment
assistance under Section 246 of the Trade Act of 1974."
Signed in Washington, D.C. this 6th day of July 2006.
/s/ Elliott S. Kushner
_________________________________
ELLIOTT S. KUSHNER
Certifying Officer, Division of
Trade Adjustment Assistance
DEPARTMENT OF LABOR
Employment and Training Administration
TA-W-59,078
HEXION SPECIALTY CHEMICALS, INC.
FFP DIVISION
INCLUDING ON-SITE LEASED WORKERS OF EXPRESS PERSONNEL
HIGH POINT, NORTH CAROLINA
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 March 23, 2006 in response
to a petition filed on behalf of workers of Hexion Specialty
Chemicals, Inc., FFP Division, High Point, North Carolina. The
workers produce specialty wood adhesives and ancillary products.
The subject firm leased on-site workers from Express Personnel.
The investigation revealed that (a)(2)(A)(I.C) and
(a)(2)(B)(II.B) have not been met.
The subject firm did not increase imports of wood adhesives,
nor did it shift production abroad. It is, however, transferring
production from High Point to other locations in the United States.
The Department of Labor surveyed the subject firm’s major
declining customers regarding their purchases of specialty wood
adhesive and ancillary products in 2004, 2005, and January through
March, 2005-2006. Respondents indicated that they did not increase
imports in the relevant periods, but did increase purchases from
other domestic sources.
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 the
investigation, I determine that all workers of Hexion Specialty
Chemicals, Inc., FFP Division, High Point, North Carolina,
including on-site leased workers of Express Personnel, 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 2nd day of May 2006
/s/Richard Church
______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance