U.S. DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-83,058

SYSCO DENVER LLC
A SUBSIDIARY OF SYSCO CORPORATION
IT DEPARTMENT
DENVER, COLORADO

Notice of Affirmative Determination
Regarding Application for Reconsideration

By application dated October 1, 2013, 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 of Sysco
Denver LLC., a subsidiary of Sysco Corporation, IT Department,
Denver, Colorado (subject firm). The negative determination was
issued on September 17, 2013 and the Department’s Notice of
determination was published in the Federal Register on October 24,
2013 (78 FR 63498). Workers at the subject firm were engaged in
activities related to the supply of information technology (IT)
services.
The negative determination was based on the Department’s
findings that, with respect to Section 222(a) and Section 222(b)
of the Act, Criterion (1) has not been met because a significant
number or proportion of the workers in such workers’ firm, have
not become totally or partially separated, or threatened with such
separation.
In addition, the group eligibility requirements under Section
222(e) of the Act have not been satisfied 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.
The request for reconsideration alleges that the two workers
at the subject firm location were part of a larger worker group
(those supplying IT services at various Sysco Corporation
facilities) and that IT functions are being outsourced to India.
The Department has carefully reviewed the request for
reconsideration and the existing record, and will conduct further
investigation to determine if the 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 27th day of November, 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-83,058

SYSCO DENVER LLC
A SUBSIDIARY OF SYSCO CORPORATION
IT DEPARTMENT
DENVER, COLORADO

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 three 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.

Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms “Supplier” and “Downstream Producer.” 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.

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 September 6, 2013 by a one-stop operator on behalf of
workers of Sysco Denver LLC., a subsidiary of Sysco Corporation,
IT Department, Denver, Colorado. The worker group is engaged in
activities related to the supply of information technology
services for the firm.
The petitioners alleged that services were outsourced to
India.
During the course of the investigation, information was
collected from the workers’ firm.
With respect to Section 222(a) and Section 222(b) of the Act,
the investigation revealed that Criterion (1) has not been met
because a significant number or proportion of the workers in such
workers’ firm, have not become totally or partially separated, nor
are a significant number or proportion threatened to become
totally or partially separated. The program regulations at 29 CFR
90.2 defines “group” to mean, “three or more workers in a firm or
an appropriate subdivision thereof.” The investigation confirmed
that this worker group includes only two workers.
Finally, the group eligibility requirements under Section
222(e) of the Act have not been satisfied 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 Sysco Denver LLC., a
subsidiary of Sysco Corporation, IT Department, Denver, Colorado
engaged in activities related to the supply of information
technology 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 17th day of September, 2013
/s/ Michael W. Jaffe
______________________________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance





- 7 -