DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-81,264

PHILLIPS-VAN HEUSEN CORPORATION
IZOD DRESS FURNISHINGS DIVISION
NEW YORK, NEW YORK


Notice of Negative Determination
on Reconsideration

On May 21, 2012, the Department of Labor issued an Affirmative
Determination Regarding Application for Reconsideration for the
workers and former workers of Phillips-Van Heusen Corporation, IZOD
Women’s Wholesale Division, New York, New York. The Department’s
Notice of determination was published in the Federal Register on
April 19, 2012 (77 FR 23511).
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 Trade Adjustment Assistance (TAA) investigation
resulted in a negative determination based on the findings that with
respect to Section 222(a)(2)(A)(ii) of the Act, imports of services
like or directly competitive with the design, sourcing, and sales
services supplied by Phillips-Van Heusen Corporation, IZOD Women’s
Wholesale Division, New York, New York has not increased.
In the request for reconsideration, the worker on whose behalf
the New York State Department of Labor filed the initial TAA petition
claimed that the worker group in the original investigation (workers
of Phillips-Van Heusen Corporation, IZOD Women’s Wholesale Division,
New York, New York) was incorrect, that the subject workers are part
of the “Color Department” of the “Men’s Dress Shirt Division” at
Phillips-Van Heusen Corporation, New York, New York, and that the
separated workers were affected by a shift in the supply of color
approval services to China.
Information obtained during the reconsideration investigation
confirmed that Phillips-Van Heusen Corporation, Izod Dress
Furnishings Division, New York, New York is the correct subject of
the TAA investigation.
The reconsideration investigation revealed that, with respect to
Section 222(a) and Section 222(b) of the Act, Criterion (1) has not
been met. The investigation revealed that a significant number or
proportion of the workers in Phillips-Van Heusen Corporation, Izod
Dress Furnishings Division, New York, New York, have not become
totally or partially separated, nor are they threatened to become
totally or partially separated.
Significant number or proportion of the workers means at least
three workers in a firm (or appropriate subdivision of the firm) with
a work force of fewer than fifty workers or, in a firm (or
appropriate subdivision of the firm) with a work force of fifty or
more workers, at least five percent of the workers or fifty workers
(whichever is less). 29 CFR 90.2
Therefore, after careful review of the request for
reconsideration, the Department determines that 29 CFR 90.18(c) has
not been met.
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 Phillips-Van
Heusen Corporation, Izod Dress Furnishings Division, New York, New
York, 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 16th day of July, 2012
/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-81,264

PHILLIPS-VAN HEUSEN CORPORATION
IZOD WOMEN’S WHOLESALE DIVISION
NEW YORK, NEW YORK

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 25, 2012 by a New York state workforce official on behalf
of workers of Phillips-Van Heusen Corporation, Izod Women’s Wholesale
Division, New York, New York. The workers’ firm is engaged in
activities related to the supply of design, sourcing, and sales
services.
The petitioner alleges that the subject firm is shifting
production to 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 imports of services like or directly
competitive with the design, sourcing, and sales services supplied by
Phillips-Van Heusen Corporation, New York, New York have not
increased.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the firm did not shift the supply of
design, sourcing, and sales services to a foreign country or acquire
design, sourcing, and sales services from a foreign country. Rather,
the investigation confirmed that the worker separations are
attributable to the firm’s decision to eliminate certain product
lines.
With respect to Section 222(b)(2) of the Act, the investigation
revealed that Phillips-Van Heusen 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, the group eligibility requirements under Section 222(e)
of the Act, have not been satisfied 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 Phillips-Van Heusen Corporation, Izod
Women’s Wholesale Division, New York, New York, engaged in activities
related to the supply of design, sourcing, and sales 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 6th day of April, 2012

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





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