DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-61,924

DOMTAR INDUSTRIES INCORPORATED
BAILEYVILLE, MAINE

Determination 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 its 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 in response to a petition
received on August 2, 2007 and filed by the TAA Coordinator of
the State of Maine on behalf of workers at Domtar Industries
Incorporated, Baileyville, Maine. The workers produced fine
paper and pulp. The workers are separately identifiable by
product.
It has been determined with respect to workers of Domtar
Industries Incorporated, excluding the Pulp Mill workers at
Baileyville, Maine that the requirements of (a)(2)(A) of Section
222 have been met for the production of fine paper.
The investigation revealed that plant employment, sales and
production at the Baileyville plant, excluding the Pulp Mill
declined during the relevant period.
The Department of Labor conducted a survey of the subject
firm's major declining customers regarding purchases of fine
paper during 2005, 2006 and January through March 2007 over the
corresponding 2006 period. The survey revealed major customers
increased their imports of fine paper during the relevant period.
It is also determined with respect to workers engaged in the
production of pulp at the Pulp Mill of Domtar Industries
Incorporated, Baileyville, Maine that criteria (I.A) and (II.A)
have not been met.
The investigation revealed that the Pulp Mill did not
separate or threaten to separate a significant number or
proportion of workers as required by Section 222 of the Trade Act
of 1974. Significant number or proportion of the workers in a
firm or appropriate subdivision thereof, means that at least
three workers with a workforce of fewer than 50 workers or five
percent of the workers with a workforce of 50 or more.
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 of Domtar Industries Incorporated,
excluding the Pulp Mill, Baileyville, Maine.
In addition, 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 this case that the
requirements of Section 246 have been met for the workers of
Domtar Industries Incorporated, excluding the Pulp Mill,
Baileyville, Maine.
A significant number of workers at the subject facility,
excluding the Pulp Mill are age 50 or older and do not possess
skills that are easily transferable. Competitive conditions
within the industry are adverse.
Also, 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 of the Pulp Mill 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 increases of imports of articles
like or directly competitive with fine paper produced at Domtar
Industries Incorporated, excluding the Pulp Mill, Baileyville,
Maine contributed importantly to the total or partial separation
of workers and to the decline in sales or production at that firm
or subdivision. In accordance with the provisions of the Act, I
make the following certification:




"Workers of Domtar Industries Incorporated, excluding the
Pulp Mill, Baileyville, Maine who became totally or
partially separated from employment on or after July 31,
2006 through two years from the date of certification are
eligible to apply for adjustment assistance under Section
223 of the Trade Act of 1974, and are also eligible to apply
for alternative trade adjustment assistance under Section
246 of the Trade Act of 1974."
I further determine that all workers of Domtar Industries,
Incorporated, Pulp Mill, Baileyville, Maine are denied
eligibility to apply for trade adjustment assistance under
Section 223 of the Trade Act of 1974, and are denied eligibility
to apply for alternative trade adjustment assistance under
Section 246 of the Trade Act of 1974."
Signed in Washington, D. C. this 15th day of August, 2007.


/s/Elliott S. Kushner
______________________________
ELLIOTT S. KUSHNER
Certifying Officer, Division of
Trade Adjustment Assistance