Denied
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TAW-85419  /  Cinram Group Inc. (Olyphant, PA)

Petitioner Type: Company
Impact Date:
Filed Date: 07/14/2014
Most Recent Update: 03/31/2016
Determination Date: 11/07/2014
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,419

CINRAM GROUP INC.
A SUBSIDIARY OF NAJAFI COMPANIES
INCLUDING ON-SITE LEASED WORKERS FROM DYNAMIC STAFFING
OLYPHANT, PENNSYLVANIA

Notice of Negative 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 on July 14, 2014, resulted
in a negative determination, issued on November 7, 2014, that was
based on the Department’s finding of no increased imports of optical
disc media during the relevant period; of no shift of production by
the subject firm to a foreign country; and that the subject firm is
neither a Supplier nor a Downstream Producer. The determination was
applicable to workers and former workers of Cinram Group Inc., a
subsidiary of Najafi Companies, including on-site leased workers from
Dynamic Staffing, Olyphant, Pennsylvania (Cinram). The workers’ firm
is engaged in activities related to the production of optical media
discs (compact discs, digital video discs, and Blu-Ray discs for
media and entertainment use).
Based on information reviewed during the reconsideration
investigation, the Department determines that the requirements for
certification have not been met.
With respect to Section 222(a)(2)(A), the investigation revealed
that increased imports of optical media discs, or like or directly
competitive articles, did not contribute importantly to worker
separations at Olyphant, Pennsylvania.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that Cinram did not shift the production of
optical media discs, or like or directly competitive articles, to a
foreign country or acquire such production from another country.
With respect to Section 222(b)(2) of the Act, the investigation
revealed that Cinram does not act as a Supplier or 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).
Finally, the group eligibility requirements under Section 222(e)
of the Act, have not been satisfied either because Criterion (1) has
not been met since 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, 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 all workers of
Cinram Group Inc., a subsidiary of Najafi Companies, including on-
site leased workers from Dynamic Staffing, Olyphant, Pennsylvania,
to apply for adjustment assistance, in accordance with Section 223 of
the Act, 19 U.S.C. § 2273.

Signed in Washington, D.C. this 31st day of March, 2016

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






DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,419

CINRAM GROUP INC.
A SUBSIDIARY OF NAJAFI COMPANIES
INCLUDING ON-SITE LEASED WORKERS FROM DYNAMIC STAFFING
OLYPHANT, PENNSYLVANIA

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 July 14, 2014 by a company official on behalf of
workers of Cinram Group Inc., a subsidiary of Najafi Companies,
including on-site leased workers from Dynamic Staffing,
Olyphant, Pennsylvania (subject firm). The workers' firm is
engaged in activities related to the production of Optical media
discs. Specifically, the workers at the subject firm are
engaged in activities related to the production of compact
discs, digital video discs, and Blu-Ray discs for media and
entertainment use.
The petition alleges that adverse market conditions and a
shift in production to foreign countries by other competitors
lead to the separation of workers at the subject firm.
During the course of the investigation, information was
collected from the workers' firm.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the subject firm did not shift
production of optical media discs to a foreign country.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed no increased imports during the
relevant period of articles like or directly competitive with
the optical media discs produced by the subject firm.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that the subject firm is not a Supplier
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 that the subject firm does not act as 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), based on an increase in imports from, or a
shift in production to, Canada or Mexico.
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. 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 Cinram Group
Inc., a subsidiary of Najafi Companies, including on-site
leased workers from Dynamic Staffing, Olyphant, Pennsylvania,
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 7th day of November, 2014


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