Denied
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TAW-80066  /  Ivex Packaging Paper, LLC (Joliet, IL)

Petitioner Type: Union
Impact Date:
Filed Date: 03/23/2011
Most Recent Update: 08/05/2011
Determination Date: 08/05/2011
Expiration Date:



DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-80,066

IVEX PACKAGING PAPER, LLC
A FOREST RESOURCES, LLC COMPANY
JOLIET, ILLINOIS

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 ("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) and
(b) of Section 222 of the Act, 19 U.S.C. § 2272(a) and (b). 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:
(1) The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2272(a)(1)) requires that 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
(2) 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) imports of articles like or directly competitive with
articles produced by such firm or subdivision have
increased; and
(iii) the increase described in clause (ii) contributed
importantly to such workers' separation or threat of
separation and to the decline in the sales or
production of such firm or subdivision.

(B) Shift in Production Path:
(i) 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
(ii)(I) 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;
(II)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
(III)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.

For the Department to issue a secondary worker
certification under Section 222(b) of the Act, 19 U.S.C. §
2272(b), 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 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.

Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms "Supplier" and "Downstream Producer."
The investigation was initiated in response to a petition
filed on March 23, 2011 by the United Steelworkers (USW) Local
7-01211 on behalf of workers of Ivex Packaging Paper, LLC, a
Forest Resources, LLC Company, Joliet, Illinois (Ivex). The
workers' firm is engaged in activities related to the production
of corrugated paper.
USW alleges that, "Increased imports of corrugated paper
and increased costs of base products because of foreign
manufactures [are the cause of the worker separations]". During
the course of the investigation, information was collected
from the workers' firm, surveys of Ivex's major declining
customers, and a request for United States production and
imports of articles like corrugated paper from the American
Forest and Paper Association.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that Ivex did not shift the production of
container paper to a foreign country.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that there was no increase of imports
of corrugated paper. In response to the allegations, Ivex did
not import articles like those produced by the workers of
Ivex. Surveys revealed that Ivex's major declining customers
did not import articles like or directly competitive with
those produced by Ivex's workers. Finally, information from the
American Forest and Paper Association reveals that United
States production of articles like or directly competitive
with those produced by the workers of Ivex has increased in
2009, 2010 and up until May 2011.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Ivex is not a Supplier 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).
With respect to Section 222(b)(2) of the Act, the
investigation revealed Ivex that does not act as a Downstream
Producer to a firm (or subdivision, whichever is applicable)
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).
In order for the Department to issue a certification of
eligibility to apply for alternative trade adjustment assistance
(ATAA), the worker group must be certified eligible to apply for
trade adjustment assistance. Since the workers are denied
eligibility to apply for trade adjustment assistance, the
workers cannot be certified eligible for ATAA.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that all workers of Ivex Packaging
Paper, LLC, a Forest Resources, LLC Company, Joliet, Illinois
engaged in activities related to the production of corrugated
paper are denied eligibility to apply for adjustment assistance
under Section 223 of the Trade Act of 1974, as amended, and are
also denied eligibility to apply for alternative trade adjust-
ment assistance under Section 246 of the Trade Act of 1974,
amended.
Signed in Washington, D.C. this 5th day of August, 2011


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