Denied
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TAW-62947  /  Norcal Pottery Products (Richmond, CA)

Petitioner Type: Company
Impact Date:
Filed Date: 03/04/2008
Most Recent Update: 03/21/2008
Determination Date: 03/21/2008
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-62,947

NORCAL POTTERY PRODUCTS
MACRAME DEPARTMENT
RICHMOND DISTRIBUTION CENTER
RICHMOND, CALIFORNIA

Notice of Negative Determination
on Reconsideration

On April 30, 2008, the Department issued an Affirmative
Determination Regarding Application for Reconsideration for the
workers and former workers of the subject firm. The notice was
published in the Federal Register on May 7, 2008 (73 FR 25772).
The TAA petition, which was filed on behalf of workers at
Norcal Pottery Products, Macrame Department, Richmond
Distribution Center, Richmond, California engaged in the
production of macramé plant hangers was denied based on the
findings that during the relevant time period, the subject
company 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.
In the request for reconsideration, the petitioner stated
that the subject firm contracted five independent contractors to
produce macramé plant hangers. The petitioner also stated that
the contracts between the subject firm and the contractors were
terminated in 2007. The petitioner seems to allege that because
the workers were contracted to perform production for the subject
firm, they should be considered as employees of the subject firm
and, therefore, eligible for Trade Adjustment Assistance. To
support the allegations, the petitioner attached copies of the
“Independent Contractor Agreement”.
To determine whether five contracting workers were employees
of the subject firm, on-site leased workers, or workers under the
control of the subject firm and whether there was a significant
proportion of workers separated or threatened with separations at
the subject company during the relevant time period, the
Department contacted the subject firm’s company official and
requested employment figures for the relevant employment data
(for one year prior to the date of the petition and any imminent
layoffs).
The company official stated that five independent
contractors were not employees of Norcal Pottery Products,
Macrame Department, Richmond Distribution Center, Richmond,
California, and they were not leased workers employed on-site of
the subject facility. It was revealed that the independent
contractors produced macramé plant hangers at their homes. The
company official also stated that the nature of the business
between the subject firm and the independent contractors was
determined by the contractual agreement, which underlines no
operational control by Norcal Pottery Products over these
independent contractors.
The Department carefully reviewed the Independent Contract
Agreement provided by the petitioner to determine whether there
was operational control by the subject firm over the contracted
workers. According to the document, the relationship between the
parties is described as two independent entities “engaged in a
separate business enterprise”. It states that the “contractor is
free to contract similar services to be provided for other
customers”. The Agreement also states that “Company is concerned
only with the act of completion of the work,” and that “the
conduct and control of the work to be provided by Contractor will
lie solely with the Contractor, who alone shall be in control” of
the work. Furthermore, the agreement allows the contractor to
employ or utilize other persons to carry out the terms of the
Agreement under contractor’s control.
The investigation on reconsideration determined that five
contractors claiming to be employees of Norcal Pottery Products,
Macramé Department, Richmond Distribution Center, Richmond,
California were not employees of the subject firm or leased
workers employed on-site of the subject facility. The
investigation also revealed that the independent contractors were
not under operational control of the subject facility, and thus
cannot be considered to be a part of the worker group employed by
the subject firm.
After careful review of the information provided on
reconsideration, it was revealed that Norcal Pottery Products,
Macramé Department, Richmond Distribution Center, Richmond,
California is a distribution facility and no production of
macramé plant hangers took place at the subject location.
Moreover, a review of the records provided by the company
official established that only two workers were separated from
the subject facility during the relevant time period.
Conclusion
After reconsideration, I affirm the original notice of
negative determination of eligibility to apply for worker
adjustment assistance for workers and former workers of Norcal
Pottery Products, Macramé Department, Richmond Distribution
Center, Richmond, California.
Signed at Washington, D.C., this 1st day of July, 2008

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

4510-FN-P


DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-62,947

NORCAL POTTERY PRODUCTS
MACRAME DEPARTMENT
RICHMOND DISTRIBUTION CENTER
RICHMOND, CALIFORNIA

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 4, 2008, in response
to a petition filed by a company official on behalf of workers of
Norcal Pottery Products, Macramé Department, Richmond, California.
The workers produced macramé plant hangers.
The investigation revealed that criteria I.A and II.A have not
been met.
The subject firm 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 at
least three workers with a workforce of fewer than 50 workers or
five percent of the workers with a workforce over 50 workers. Since
Norcal Pottery Products employed a total of two workers in the
Macramé department at the Richmond facility, and only one worker
was separated, the threshold level for group eligibility was not
met.
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 assis-
tance (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 workers employed in the Macramé
Department at Norcal Pottery Products, Richmond, California 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 21st day of March 2008

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







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