Denied
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TAW-74380  /  Wistron InfoComm (Texas) Corporation (Grapevine, TX)

Petitioner Type: State
Impact Date:
Filed Date: 07/14/2010
Most Recent Update: 11/16/2010
Determination Date: 11/16/2010
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-74,380

WISTRON INFOCOMM (TEXAS) CORPORATION
INCLUDING WORKERS OPERATING FROM HOME OFFICES LOCATED THROUGHOUT
THE UNITED STATES WHO REPORT TO THE GRAPEVINE, TEXAS FACILITY
GRAPEVINE, TEXAS


Negative Determination Regarding Eligibility
To Apply for Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974, as
amended ("Act"), 19 U.S.C. § 2273, the Department of Labor
herein presents the results of an investigation regarding
certification of eligibility to apply for worker adjustment
assistance.
Workers of a firm may be eligible for worker adjustment
assistance if they satisfy the criteria of subsection (a), (c)
or (f) of Section 222 of the Act, 19 U.S.C. § 2272(a), (c), (f).
For the Department of Labor to issue a certification for workers
under Section 222(a) of the Act, 19 U.S.C. § 2272(a), the
following three criteria must be met:
I. The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2282(a)(1)) requires that a significant
number or proportion of the workers in the workers' firm
must have become totally or partially separated or be
threatened with total or partial separation.

II. The second criterion (set forth in Section 222(a)(2) of the
Act, 19 U.S.C. § 2272(a)(2)) may be satisfied in one of two
ways:
(A) Increased Imports Path:
(i) sales or production, or both, at the workers' firm
must have decreased absolutely, AND
(ii) (I) imports of articles or services like or directly
competitive with articles or services produced or
supplied by the workers' firm have increased, OR
(II)(aa) imports of articles like or directly
competitive with articles into which the
component part produced by the workers' firm was
directly incorporated have increased; OR
(II)(bb) imports of articles like or directly
competitive with articles which are produced
directly using the services supplied by the
workers' firm have increased; OR
(III) imports of articles directly incorporating
component parts not produced in the U.S. that are
like or directly competitive with the article
into which the component part produced by the
workers' firm was directly incorporated have
increased.

(B) Shift in Production or Supply Path:
(i)(I) there has been a shift by the workers' firm to a
foreign country in the production of articles or
supply of services like or directly competitive with
those produced/supplied by the workers' firm; OR
(i)(II) there has been an acquisition from a foreign
country by the workers' firm of articles/services that
are like or directly competitive with those
produced/supplied by the workers' firm.

III. The third criterion requires that the increase in imports
or shift/acquisition must have contributed importantly to
the workers' separation or threat of separation. See
Sections 222(a)(2)(A)(iii) and 222(a)(2)(B)(ii) of the Act,
19 U.S.C. §§ 2272(a)(2)(A)(iii), 2272(a)(2)(B)(ii).

Section 222(d) of the Act, 19 U.S.C. § 2272(d), defines the
terms "Supplier" and "Downstream Producer." For the Department
to issue a secondary worker certification under Section 222(c)
of the Act, 19 U.S.C. § 2272(c), to workers of a Supplier or a
Downstream Producer, the following criteria 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 is a Supplier or Downstream Producer
to a firm that employed a group of workers who
received a certification of eligibility under Section
222(a) of the Act, 19 U.S.C. § 2272(a), and such
supply or production is related to the article or
service that was the basis for such certification; and

(3) either
(A) the workers' firm is a supplier and the component
parts it supplied to the firm 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
described in paragraph (2) contributed importantly to
the workers' separation or threat of separation.

Workers of a firm may also be considered eligible if they
are publicly identified by name by the International Trade
Commission (ITC) as a member of a domestic industry in an
investigation resulting in a category of determination that is
listed in Section 222(f) of the Act, 19 U.S.C. § 2272(f).
The group eligibility requirements for workers of a firm
under Section 222(f) of the Act, 19 U.S.C. § 2272(f), can be
satisfied if the following criteria are met:
(1) the workers' firm is publicly identified by name by
the International Trade Commission as a member of a
domestic industry in an investigation resulting in--
(A) an affirmative determination of serious injury or
threat thereof under section 202(b)(1);
(B) an affirmative determination of market disruption
or threat thereof under section 421(b)(1); or
(C) an affirmative final determination of material
injury or threat thereof under section
705(b)(1)(A) or 735(b)(1)(A) of the Tariff Act of
1930 (19 U.S.C. 1671d(b)(1)(A) and
1673d(b)(1)(A));
(2) the petition is filed during the 1-year period
beginning on the date on which--
(A) a summary of the report submitted to the
President by the International Trade Commission
under section 202(f)(1) with respect to the
affirmative determination described in paragraph
(1)(A) is published in the Federal Register under
section 202(f)(3); or
(B) notice of an affirmative determination described
in subparagraph (1) is published in the Federal
Register; and
(3) the workers have become totally or partially
separated from the workers' firm within--
(A) the 1-year period described in paragraph (2); or
(B) notwithstanding section 223(b)(1), the 1-year
period preceding the 1-year period described in
paragraph (2).

The investigation was initiated in response to a Trade
Adjustment Assistance (TAA) petition filed on July 14, 2010 by a
California state workforce representative on behalf of workers
of Wistron InfoComm (Texas) Corporation located at 16220
Bloomfield Avenue, Cerritos, California but reporting to Wistron
InfoComm (Texas) Corporation, Grapevine, Texas. The petition
states that the California facility produces "LCD Monitors,"
that the Grapevine, Texas facility produces "LCD Monitors and TV
as well as many other products," and that "Wistron purchased the
division from Lite One Trading USA and . . . moved all of our
functions to China."
During the investigation, the Department obtained
information that reveal that the 16220 Bloomfield Avenue,
Cerritos, California facility is not affiliated with Wistron
InfoComm (Texas) Corporation, but is a commercial structure that
houses several, independently-owned businesses. One of the
businesses services monitors under an exclusive contract with
the manufacturer but has no relationship with Wistron InfoComm
(Texas) Corporation. Further, Wistron InfoComm (Texas)
Corporation confirmed that it does not have a facility in
California and stated that workers at the Grapevine, Texas
facility do not produce an article but supply computer services,
communication services, sales services, and repair services, and
are not separately identifiable by service supplied.
Based on the above information, the Department determines
that the subject worker group is not workers of Wistron
InfoComm (Texas) Corporation, 16220 Bloomfield Avenue, Cerritos,
California, but consists of workers of Wistron InfoComm (Texas)
Corporation, Grapevine, Texas, including workers operating from
home offices located throughout the United States who report to
the Grapevine, Texas facility.
With respect to Section 222(a) and Section 222(c) of the
Act, the investigation revealed that criterion one has not been
met because a significant number or proportion of the subject
worker group has not been totally or partially separated, or
threatened with such separation. A significant number or
proportion is defined under 29 CFR 90.2 to mean five percent of
the workers or 50 workers, whichever is less, in a firm with
fifty or more workers.
Finally, the group eligibility requirements under Section
222(f) of the Act, 19 U.S.C. § 2272(f), have not been met
because the workers' firm has not been identified in an
affirmative finding of injury by the ITC.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that workers of Wistron InfoComm
(Texas) Corporation, Grapevine, Texas, including workers
operating from home offices located throughout the United States
who report to the Grapevine, Texas facility, who are engaged in
activities related to the supply of computer services,
communication services, sales services, and repair services, are
denied eligibility to apply for adjustment assistance under
Section 223 of the Act, 19 U.S.C. § 2273.
Signed in Washington, D.C., this 16th day of November, 2010


/s/Del Min Amy Chen
______________________________
DEL MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance