DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-60,046

SKIP'S CUTTING, INC.
EPHRATA, PENNSYLVANIA

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 September 11, 2006 in
response to a petition filed by a company official on behalf of
workers of Skip's Cutting Inc., Ephrata, Pennsylvania. The workers
at the subject firm produce knit clothing for men, women and
children.
Workers of the subject firm were certified eligible to apply
for trade adjustment assistance based on a shift in production to
Honduras, under petition number TA-W-55,618, which expires on
October 19, 2006.
The investigation revealed that criteria (a)(2)(A)(I.A) and
(a)(2)(B)(II.A) have not been met.


The investigation revealed that the subject firm did not
threaten to separate a significant number or proportion of workers
after the current certification expires as required by Section 222
of the Trade Act of 1974. Significant number or proportion of the
workers in a firm or appropriate subdivision means at least three
workers in a workforce of fewer than 50 workers, five percent of
the workers in a workforce of over 50 workers, or at least 50
workers.
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 Skip's Cutting Inc.,
Ephrata, Pennsylvania are denied eligibility to apply for adjust-
ment 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 14th day of September 2006


/s/Richard Church
______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance