DEPARTMENT OF LABOR
Employment and Training Administration

TA-W-80,297

STEIFF NORTH AMERICA
LINCOLN, RHODE ISLAND

Notice of Affirmative Determination
Regarding Application for Reconsideration

By application received September 26, 2011, a worker
requested administrative reconsideration of the negative
determination regarding workers’ eligibility to apply for Trade
Adjustment Assistance (TAA) applicable to workers and former
workers Steiff North America, Lincoln, Rhode Island (Steiff
North America). The negative determination was issued on
September 13, 2011. The Department’s Notice of Determination
was published in the Federal Register on October 5, 2011 (76 FR
61743). The workers of Steiff North America, Lincoln, Rhode
Island, are engaged in activities related to the supply of
distribution and sales of plush toys.
The negative determination was based on the Department’s
findings that Steiff North America does not produce an article
within the meaning of Section 222(a) or Section 222(b) of the
Trade Act of 1974, as amended.
In the request for reconsideration, the petitioner asserts
that subject firm produces “plush toys, clothing, wooden toys,
and other children related items.”
The Department has carefully reviewed the petitioner’s
request for reconsideration and the existing record, and has
determined that the Department will conduct further
investigation to determine if the petitioning workers meet the
eligibility requirements of the Trade Act of 1974, as amended.
Conclusion
After careful review of the application, I conclude that
the claim is of sufficient weight to justify reconsideration of
the U.S. Department of Labor's prior decision. The application
is, therefore, granted.
Signed at Washington, D.C., this 5th day of October, 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-80,297

STEIFF NORTH AMERICA
LINCOLN, RHODE ISLAND

Negative 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, 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 July 19, 2011 by a company official on behalf of
workers of Steiff North America, Lincoln, Rhode Island. The
workers’ firm is engaged in activities related to the
distribution and sales of plush toys made outside of the United
States.
The investigation revealed that workers of Steiff North
America, Lincoln, Rhode Island, do not produce an article within
the meaning of Section 222(a) or Section 222(b) of the Act. In
order to be considered eligible to apply for adjustment
assistance under Section 223 of the Trade Act of 1974, the
worker group seeking certification (or on whose behalf
certification is being sought) must work for a “firm” or
appropriate subdivision that produces an article. The
definition of a firm includes an individual proprietorship,
partnership, joint venture, association, corporation (including
a development corporation), business trust, cooperative, trustee
in bankruptcy, and receiver under decree of any court.
During the investigation, the Department of Labor obtained
information that revealed that the workers’ firm did not produce
an article domestically; rather, the workers’ firm supplied
services related to the sales and distribution of plush toys.
The investigation revealed that the plush toys were exclusively
manufactured in a foreign country.
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 (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 all workers of Steiff North
America, Lincoln, Rhode Island engaged in activities related to
the sales and distribution of plush toys 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 13th day of September, 2011


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







7