Petitioner Type: Company
Impact Date:
Filed Date: 10/30/2006
Most Recent Update: 12/01/2006
Determination Date: 12/01/2006
Expiration Date:
Employment and Training Administration
TA-W-60,322
WESTERN TEXTILE PRODUCTS, CO.
PIEDMONT, SOUTH 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 (19 USC 2273), as amended, the Department of Labor herein presents the results of an investigation regarding certification of eligibility to apply for worker adjustment assistance as an adversely affected secondary group.
An investigation was conducted in order to determine whether the petitioning group of workers qualifies as adversely affected secondary workers as suppliers of component parts to a firm or subdivision primarily affected by increased imports or a shift of production abroad.
In order to make an affirmative determination and issue a certification of eligibility to apply for adjustment assistance, the following group eligibility requirements under Section 222(b) must be met:
(1) a significant number or proportion of the workers in the workers’ firm or an appropriate subdivision of the firm have become totally or partially separated, or are threatened to become totally or partially separated;
(2) the workers’ firm (or subdivision) is a supplier or downstream producer to a firm (or subdivision) that employed a group of workers who received a certification of eligibility to apply for trade adjustment assistance benefits and such supply or production is related to the article that was the basis for such certification; and
(3) either—
(A) the workers’ firm is a supplier and the component parts it supplied for the firm (or subdivision) described in paragraph (2) accounted for at least 20 percent of the production or sales of the workers’ firm; or
(B) a loss of business by the workers’ firm with the firm (or subdivision) described in paragraph (2) contributed importantly to the workers’ separation or threat of separation.
The investigation was initiated on October 30, 2006 in response to a petition filed by a company official on behalf of workers of Western Textile Products Company, Piedmont, South Carolina. The workers are engaged in rotary high speed printing on narrow fabrics.
The investigation revealed that criterion 2 has not been met.
Petitioners allege that job losses were due to their firm losing business as a supplier firm, producing components for a trade certified firm that has shifted production abroad. The Department has determined that the printing on the product, narrow elastic waistbands, is viewed as a value-added function associated with a downstream producer, and is not considered a component. Furthermore, to qualify as a downstream producer the worker group would have to of had finished the product in which the primary firm was trade-certified, on the basis of an impact from Canada or Mexico.
Additionally, 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 revealed that criteria (a)(2)(A)(I.C) and (a)(2)(B)(II.B) have not been met.
The subject firm did not import printed narrow fabrics or shift production of rotary high speed printing on narrow fabrics abroad in 2004, 2005, or during the period of January through September 2006.
The Department of Labor surveyed the subject firm’s major declining customers regarding their purchases of rotary high speed printing on narrow fabrics. This survey revealed no imports of high speed printed on narrow fabrics during the relevant 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 during this investigation, I determine that workers of Western Textile Products Company, Piedmont, South Carolina 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 1st day of December 2006
/s/ Linda G. Poole
_______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance