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TAW-85081  /  Larsen Manufacturing Southwest (El Paso, TX)

Petitioner Type: Workers
Impact Date: 02/20/2013
Filed Date: 02/20/2014
Most Recent Update: 03/24/2016
Determination Date: 03/24/2016
Expiration Date: 03/24/2018

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,081

LARSEN MANUFACTURING SOUTHWEST
INCLUDING ON-SITE LEASED WORKERS FROM
EMPLOYERS SOLUTION STAFFING GROUP AND FLEXICORPS
EL PASO, TEXAS

Notice of Revised Determination
After Statutory Reconsideration

As required by the Trade Adjustment Assistance Reauthorization
Act of 2015 (TAARA 2015), which was enacted as Title IV of the
Trade Preferences Extension Act of 2015, Public Law No. 114-27,
section 405(a)(1)(A), the investigation into this petition was
reopened for a reconsideration investigation to apply the
requirements for worker group eligibility under chapter 2 of title
II of the Trade Act of 1974, as amended by the TAARA 2015, to the
facts of this petition (statutory reconsideration).
The initial investigation, initiated February 20, 2014,
resulted in a negative determination, issued on March 19, 2014,
that was based on increased imports of articles not contributing to
the workers separations and no shifts in production of articles by
the firm. The determination was applicable to workers and former
workers of Larsen Manufacturing Southwest, including on-site leased
workers from Employers Solution Staffing Group and Flexicorps, El
Paso, Texas (herein referred to as “Larsen Manufacturing
Southwest”). The workers’ firm is engaged in activities related to
the production of metal stampings.
Based on information reviewed during the reconsideration
investigation, the Department of Labor determines that imports of
finished articles containing like or directly competitive component
parts have increased and contributed to the worker group
separations.
Section 222(a)(1) has been met because a significant number
or proportion of the workers in such workers’ firm have become
totally or partially separated, or are threatened to become totally
or partially separated.
Section 222(a)(2)(A)(i) has been met because the sales and
production of metal stampings by Larsen Manufacturing Southwest
have decreased absolutely.
Section 222(a)(2)(A)(ii)(II)(aa) has been met because
imports of cable boxes like or directly competitive with cable
boxes incorporating metal stampings produced by Larsen
Manufacturing Southwest which are directly incorporated have
increased.
Finally, increased imports of cable boxes contributed
importantly to the worker group separations and sales and
production declines at Larsen Manufacturing Southwest.


Conclusion
After careful review, I determine that workers of Larsen
Manufacturing Southwest, including on-site leased workers from
Employers Solution Staffing Group and Flexicorps, El Paso, Texas,
who are engaged in activities related to production of metal
stampings, meet the worker group certification criteria under
Section 222(a) of the Act, 19 U.S.C. § 2272(a). In accordance with
Section 223 of the Act, 19 U.S.C. § 2273, I make the following
certification:
"All workers of Larsen Manufacturing Southwest, including on-
site leased workers from Employers Solution Staffing Group and
Flexicorps, El Paso, Texas who became totally or partially
separated from employment on or after February 20, 2013,
through two years from the date of certification, and all
workers in the group threatened with total or partial
separation from employment on the date of certification
through two years from the date of certification, are eligible
to apply for adjustment assistance under Chapter 2 of Title II
of the Trade Act of 1974, as amended.”
Signed in Washington, D.C., this 24th day of March, 2016


/s/ Hope D. Kinglock
______________________________
HOPE D. KINGLOCK
Certifying Officer, Office of
Trade Adjustment Assistance







DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,081

LARSEN MANUFACTURING SOUTHWEST
INCLUDING ON-SITE LEASED WORKERS FROM
EMPLOYERS SOLUTION STAFFING GROUP AND FLEXICORPS
EL PASO, TEXAS

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 February 20, 2014 on behalf of workers of Larsen
Manufacturing Southwest, El Paso, Texas (Larsen
Manufacturing). The workers' firm is engaged in activities
related to the production of metal stamped component parts for
the consumer electronics and automobile industries. The group
includes on-site leased workers from Employers Solution Staffing
Group, and Flexicorps.
The petitioners alleged that, "(2 foreign customers) both
located in Mexico. Orders from each customer have
significantly dropped due to... 'loss of business to other
suppliers in Mexico' production shifting to Customer site.
Production shifting to Asia partners."
During the course of the investigation, information was
collected from the workers' firm, and petitioners.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that Larsen Manufacturing has not shifted
production of articles like or directly competitive with metal
stamped parts to a foreign country.
With respect to Section 222(a)(2)(A)(iii), the
investigation revealed that imports of articles like or
directly competitive with metal stamped parts have not
increased. Rather, the investigation confirmed that the worker
separations are attributable to a loss of export sales.
The investigation revealed that Larsen Manufacturing is not
a Supplier or 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 (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 Larsen
Manufacturing Southwest, including on-site leased workers from
from Employers Solution Staffing Group, and Flexicorps, El
Paso, Texas 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 adjustment assistance under Section 246 of the
Trade Act of 1974, amended.
Signed in Washington, D.C. this 19th day of March, 2014

/s/ Michael W. Jaffe

______________________________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance