DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-81,253

SEARS HOLDINGS MANAGEMENT CORPORATION
A DIVISION OF SEARS HOLDINGS CORPORATION
HOFFMAN ESTATES, ILLINOIS


Notice of Negative Determination
on Reconsideration

On August 3, 2012, the Department of Labor issued an
Affirmative Determination Regarding Application for Reconsideration
for the workers and former workers of Sears Holdings Management
Corporation, Hoffman Estates, Illinois (subject firm). The
Department’s Notice of determination was published in the Federal
Register on August 14, 2012 (77 FR 48550).
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.
During the initial investigation, the Department received
information that the petitioners worked in different units of the
subject firm: one petitioner worked in the marketing unit, another
petitioner worked in the analytics segment of the information and
technology unit, and the third petitioner worked in the space
management segment of the supply chain unit. The Department also
received information from the subject firm that the services
supplied by each of the petitioners did not shift to a foreign
country as alleged in the petition.
In the request for reconsideration, one of the initial
petitioners stated that the worker group was incorrect in the
initial investigation (“My position at Sears had nothing to do with
Analytics or space Management. I worked in Marketing”), that the
correct worker group consist of workers supplying “Accounting,
Marketing, and inventory services” and that worker separations was
due to Sear’s shift the supply of services to a foreign country
(“The IMPACT program supported by (Sears Holding) India will be
taking over”).
During the reconsideration investigation, the Department
reviewed the petition; information supplied by the petitioners;
information supplied by Sears’ representative during the initial
investigation; and information supplied in the request for
reconsideration. The Department also requested that the subject
firm confirm previously-submitted information and address the
allegations in the request for reconsideration.
The subject firm clarified that one petitioner supplied print
marketing management services, another petitioner supplied project
coordinator analytics services, and the third petitioner supplied
merchandise planning analysis services. The subject firm also
confirmed that the services previously supplied by the petitioners
were not being performed by Sears Holding India and that services
supplied by Sears Holding India were not increasing while services
decreased at Hoffman Estates, Illinois. The subject firm also
provided information that the services supplied by the petitioning
workers remain at Hoffman Estates, Illinois.
While there is a certification applicable to TA-W-73,244, each
petition is determined based on facts specific to the petition.
Therefore, facts relevant to one petition cannot be the basis for
certification of another petition.
Conclusion
After careful review, I determine that the requirements of
Section 222 of the Act, 19 U.S.C. § 2272, have not been met and,
therefore, deny the petition for group eligibility of Workers of
Sears Holdings Management Corporation, Hoffman Estates, Illinois,
to apply for adjustment assistance, in accordance with Section 223
of the Act, 19 U.S.C. § 2273.
Signed in Washington, D.C. on this 8th day of May, 2013
/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-81,253

SEARS HOLDINGS MANAGEMENT CORPORATION
A DIVISION OF SEARS HOLDINGS CORPORATION
HOFFMAN STATES, ILLINOIS

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), (b) or
(e) of Section 222 of the Act, 19 U.S.C. § 2272(a), (b) and (e).
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
criteria must be met:
(1) 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.

(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) (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.
(iii) the increase in imports 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.

(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
(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; and
(ii) the shift described in clause (i)(I) or the acquisition
of articles or services described in clause (i)(II)
contributed importantly to such workers’ separation or
threat of separation.

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 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.

Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms “Supplier” and “Downstream Producer.”
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(e) of the Act, 19 U.S.C. § 2272(e).
The group eligibility requirements for workers of a firm under
Section 222(e) of the Act, 19 U.S.C. § 2272(e), 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 January 20, 2012 by three workers on behalf of workers of
Sears Holdings Management Corporation, a division of Sears
Holdings Corporation, Hoffman Estates, Illinois. The workers’
firm is engaged in activities related to the supply of internal
corporate services to Sears Management Corporation. The subject
worker group includes workers who supply marketing, analytics, and
space management functions.
The petitioners allege that the subject firm is acquiring
like or directly competitive services from a foreign country.
During the course of the investigation, information was
collected from the workers’ firm.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that the firm, customers, and aggregate
U.S. imports of services like or directly competitive with the
services supplied by Sears Holdings Management Corporation have
not increased. Specifically, the firm has not increased imports
of marketing, analytics, or space management services that are
like or directly competitive with the services supplied by the
workers.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the firm has not shifted the supply of
services that are like or directly competitive with marketing,
analytics, or space management services to a foreign country or
acquired like or directly competitive services from a foreign
country.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Sears Holdings Management Corporation
is not 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).
Finally, with respect to the group eligibility requirements
under Section 222(e) of the Act, Criterion (1) has not been met
because the workers’ firm has not been publicly identified by name
by the International Trade Commission as a member of a domestic
industry in an investigation resulting in an affirmative finding of
serious injury, market disruption, or material injury, or threat
thereof.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that the requirements of Section 222 of
the Act, 19 U.S.C. § 2272, have not been met and, therefore, deny
the petition for group eligibility of Sears Holdings Management
Corporation, a division of Sears Holdings Corporation, Hoffman
Estates, Illinois engaged in activities related to the supply of
internal corporate services to apply for adjustment assistance, in
accordance with Section 223 of the Act, 19 U.S.C. § 2273.
Signed in Washington, D.C. this 30th day of March, 2012.

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





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