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TAW-85497  /  INVISTA S.A.R.L. (Waynesboro, VA)

Petitioner Type: Union
Impact Date: 12/15/2013
Filed Date: 08/22/2014
Most Recent Update: 03/25/2016
Determination Date: 03/25/2016
Expiration Date: 03/25/2018

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,497

INVISTA S.A.R.L.
APPAREL DIVISION
A WHOLLY-OWNED SUBSIDIARY OF KOCH INDUSTRIES, INC.
WAYNESBORO, VIRGINIA


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 on August 24, 2014,
resulted in a negative determination, issued on November 14, 2014,
that was based on the Department’s finding that neither a shift in
production to a foreign country nor increased imports of like or
directly competitive articles contributed importantly to worker
separations at the subject firm. The determination was applicable
to workers and former workers of INVISTA S.A.R.L., Apparel
Division, a wholly owned subsidiary of Koch Industries, Inc.,
Waynesboro, Virginia (INVISTA-Apparel). The workers’ firm is
engaged in activities related to the production of spandex fibers
for apparel and personal hygiene applications. The subject worker
group does not include on-site leased workers.
Workers were eligible to apply for Trade Adjustment Assistance
(TAA) under an earlier certification (TA-W-80,418; expired on
December 14, 2013).
Based on information reviewed during the reconsideration
investigation, the Department determines that the requirements for
certification have been met.
Section 222(a)(1) has been met because a significant number
or proportion of the workers in INVISTA-Apparel 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/or production of spandex fibers by INVISTA-Apparel have
decreased.
Section 222(a)(2)(A)(ii) has been met because imports of
finished articles containing component parts like or directly
competitive with the spandex fibers produced by INVISTA-Apparel
have increased during the twelve month period prior to the
petition date (August 21, 2014).
Finally, Section 222(a)(2)(A)(iii) has been met because
increased imports of the finished articles containing foreign
produced component parts contributed importantly to worker group
separations and sales/production declines at INVISTA-Apparel.
Conclusion
After careful review, I determine that workers of INVISTA
S.A.R.L, Apparel Division, Waynesboro, Virginia, who are engaged
in activities related to production of spandex fibers, 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 INVISTA S.A.R.L, Apparel Division, a wholly
owned subsidiary of Koch Industries, Inc., Waynesboro,
Virginia who became totally or partially separated from
employment on or after December 15, 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 25th day of March, 2016


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





U.S. DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,497

INVISTA S.A.R.L.
APPAREL DIVISION
A WHOLLY-OWNED SUBSIDIARY OF KOCH INDUSTRIES, INC.
WAYNESBORO, VIRGINIA

Notice of Affirmative Determination
Regarding Application for Reconsideration

By application dated December 14, 2014, United Workers,
Inc., International Brotherhood of Dupont Workers, Local
381, requested administrative reconsideration of the
negative determination regarding workers’ eligibility
to apply for worker adjustment assistance applicable
to workers and former workers of INVISTA S.a.r.l., a
wholly-owned subsidiary of Koch Industries, Inc.,
Waynesboro, Virginia. The determination was issued on
November 14, 2014 and the Notice of Determination was
published in the Federal Register on December 10, 2014
(79 FR 73339).

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
misinterpretation of facts or of the law justified
reconsideration of the decision.

The initial investigation resulted in a negative
determination based on the findings that worker separations
were unrelated to a shift in production to a foreign
country or to imports by the subject firm or its customers.
The request for reconsideration asserts that the workers
at the subject firm have been impacted by a continuous
transfer of production to foreign countries.

The Department of Labor has carefully reviewed the
request for reconsideration and the existing record,
and has determined that the Department will conduct
further investigation to determine if the workers meet
the eligibility requirements of the Trade Act of 1974.

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 15th day of January, 2015

/s/Michael W. Jaffe
_______________________________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance
4510-FN-P



DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,497

INVISTA S.A.R.L.
APPAREL DIVISION
A WHOLLY-OWNED SUBSIDIARY OF KOCH INDUSTRIES, INC.
WAYNESBORO, VIRGINIA

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 August 22, 2014 by United Worker, Inc. Local 381 of
International Brotherhood of Dupont Workers (IBDW) on behalf of
workers of Invista S.a.r.l., a wholly-owned subsidiary of Koch
Industries, Inc., Waynesboro, Virginia. The workers' firm is
engaged in activities related to the production of spandex
fibers. Specifically, the petition was filed on behalf of Power
House workers who worked on-site at Invista S.a.r.l.,
Waynesboro, Virginia.
The petitioner alleged that, "Since 2009, there has been a
significant shift of production from Waynesboro to foreign
sites, such as China and Brazil. As a result of maintaining
competitive position, the site recently shutdown the power house
and installed a packaged boiler system, resulting in the
reduction of 9 power employees. This reduction is also partially
due to recent EPA legislation regarding coal fired boilers."
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 Invista S.a.r.l. did not shift production
of spandex fibers to a foreign country during the relevant
period of the investigation.
With respect to Section 222(a)(2)(A)(iii), the
investigation revealed that the worker separations are not
attributable to increased imports of articles like or directly
competitive with spandex fibers. Rather, the investigation
confirmed that the worker separations are attributable to the
installation of a new boiler system and that total employment
at the Waynesboro facility has increased.
The investigation revealed that Invista S.a.r.l. is not a
Supplier or Downstream Producer to a firm or subdivision 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 Invista S.a.r.l.,
a wholly-owned subsidiary of Koch Industries, Inc.,
Waynesboro, Virginia engaged in activities related to the
production of spandex fibers 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 14th day of November 2014

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