Denied
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TAW-74935  /  Husqvarna Turf Care (Beatrice, NE)

Petitioner Type: State
Impact Date:
Filed Date: 11/30/2010
Most Recent Update: 03/23/2011
Determination Date: 03/23/2011
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-74,935

HUSQVARNA TURF CARE
A SUBSIDIARY OF HUSQVARNA A.B.
BEATRICE, NEBRASKA

Notice of Negative Determination
on Reconsideration

On May 3, 2011, the Department of Labor issued an Affirmative
Determination Regarding Application for Reconsideration for the
workers and former workers of Husqvarna Turf Care, a subsidiary of
Husqvarna A.B., Beatrice, Nebraska (subject firm). The
Department’s Notice was published in the Federal Register on May
20, 2011 (76 FR 29273). The workers are engaged in activities
related to the production of zero turn mowers for commercial
users and home owners.
Pursuant to 29 CFR 90.18(c), reconsideration may be granted
under the following circumstances:
(1) If it appears on the basis of facts not previously
considered that the determination complained of
was erroneous;
(2) if it appears that the determination complained of
was based on a mistake in the determination of facts
not previously considered; or
(3) if in the opinion of the Certifying Officer, a mis-
interpretation of facts or of the law justified
reconsideration of the decision.
The initial investigation resulted was based on the findings
that Criterion III has not been met because the worker separations
are not attributable to increased imports or a shift in production
to a foreign country. Rather, the investigation established that
the worker separations were attributable to a shift in production
to an affiliated facility within the United States, and that the
shift is attributable to business considerations unrelated to
increased imports.
With regard to the affiliated facility (TA-W-74,418)
identified in the petition, the investigation confirmed that the
shift by the workers’ firm of computer-aided design (CAD)
services to a foreign country was unrelated to the shift in
production in this case.
With respect to Section 222(c) of the Act, the investigation
revealed that Criterion (2) has not been met because the firm is
not a Supplier or Downstream Producer to a firm that employed a
worker group eligible to apply for Trade Adjustment Assistance.
In the request for reconsideration, the petitioner stated
that “it has been the intent of Husqvarna to gradually but
progressively move these jobs to another country or countries
. . . It has been rumored that he (a line leader) has been
given the ultimatum to increase his production or they would
move this line to Germany. In addition to this, it was rumored
that they had built a new building in Germany... and that our
PZ line was already running in Germany before our plant had
closed.”
In an attachment to the request, another worker stated that
“we have reports that some of our jobs have already been moved
to foreign soil and that more will be in the future.”
A careful review of the administrative record and additional
information obtained by the Department during the reconsideration
investigation confirmed that the worker separations are not
attributable to increased imports or a shift in production to a
foreign country. Rather, the investigation established that the
worker separations were attributable to a shift in production to an
affiliated facility within the United States, and that all
production was moved to Orangeburg, South Carolina. Further, the
firm addressed the above-mentioned petitioner allegations, in
addition to confirming that separations were attributable to a
shift in production to an affiliated facility within the United
States, and that all production was moved to Orangeburg, South
Carolina.
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 Husqvarna
Turf Care, a subsidiary of Husqvarna A.B., Beatrice, Nebraska.
Signed in Washington, D.C, on this 7th day of July, 2011
/s/ Del Min Amy Chen
_______________________________
DEL MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance
4510-FN-P


DEPARTMENT OF LABOR
Employment and Training Administration

TA-W-74,935

HUSQVARNA TURF CARE
A SUBSIDIARY OF HUSQVARNA A.B.
BEATRICE, NEBRASKA

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 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 petition
filed on November 30, 2010 by a one-stop operator on behalf of
workers of Husqvarna Turf Care, a subsidiary of Husqvarna A.B.,
Beatrice, Nebraska. The workers were engaged in activities
related to production of zero turn mowers for commercial users
and home owners.
The petition alleges that foreign competition led to a shift
in production from the Beatrice, Nebraska facility to an
affiliated facility within the United States. Specifically, the
petition refers to a previous determination (TA-W-74,418) in
which workers at an affiliated facility were certified for Trade
Adjustment Assistance based on a shift of computer-aided design
(CAD) services for lawn and garden equipment to a foreign
country. The investigation included a review of data collected for
certification number TA-W-74,418, as well as analysis of new data
provided by the workers’ firm.
With respect to Section 222(a) of the Act, the investigation
revealed that Criterion III has not been met because the worker
separations are not attributable to increased imports or a shift in
production to a foreign country. Rather, the investigation
established that the worker separations are attributable to a shift
in production to an affiliated facility within the United States,
and that shift is attributable to business considerations unrelated
to increased imports. With regard to certification number TA-W-
74,418, the worker group separations were attributable to a shift
by the workers’ firm of computer-aided design (CAD) services to a
foreign country. The investigation confirmed that the shift of
CAD services was unrelated to the domestic shift in production in
this case.
With respect to Section 222(c) of the Act, the investigation
revealed that Criterion (2) has not been met because the firm is
not a Supplier or Downstream Producer to a firm with a TAA-
certified worker group.
Finally, the group eligibility requirements under Section
222(f) of the Act, 19 U.S.C. § 2272(f), have not been satisfied
because the workers’ firm has not been identified in an affirmative
finding of injury by the International Trade Commission.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that workers of Husqvarna Turf Care, a
subsidiary of Husqvarna A.B., Beatrice, Nebraska, who were
engaged in activities related to production of zero turn mowers,
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 23rd day of March, 2011

/s/ Michael W. Jaffe
______________________________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance




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